MicroStrategy and Square Buys Additional Bitcoin worth of $1B and $170m

MicroStrategy and Square Buys Additional Bitcoin worth of $1B and $170m

The MicroStrategy has purchased another $1B worth of Bitcoin. Moreso, the Payments giant Square purchased an additional $170 million of BTC, adding to the stash it purchased in October 2020.

The company added 3,318 BTC to its treasury for $170 million, or at a purchase price of $51,235.70 per BTC.

As expected, MicroStrategy purchased an additional 19,452 BTC for about $1.026 billion in cash, pushing its total Bitcoin reserve to 90,531 BTC.

This recent purchase was made at an average price of $52,765 per BTC. In total, MicroStrategy has purchased $2.171 billion worth of Bitcoin at an average purchase price of $23,985 per BTC. The company's Bitcoin holdings are currently worth $4.78 billion.

MicroStrategy's recent Bitcoin purchase was secured less than a week after the company completed an offering of $1.05 billion in convertible senior notes. The company has now borrowed $1.7 billion in funds for the explicit purpose of purchasing Bitcoin.

When Square’s announcement was released, the price of bitcoin was below $48,000, which means those 3,318 BTC were then worth less than $160 million.

Square previously purchased 4,709 BTC in October 2020, which were worth $50 million at the time. Currently, that investment is worth $224 million. The company’s total value of BTC on Square’s balance sheet is $394 million.