Strategy added 397 Bitcoin, continuing its relentless accumulation strategy despite market volatility.
The company said it sold $69.5 million in various stock classes to fund the $45.6 million purchase at an average price of $114,771 per BTC.
Summary
- Strategy acquired 397 Bitcoin between Oct. 27 and Nov. 2, bringing its total holdings to 641,205 BTC.
- The $45.6 million purchase was funded through $69.5 million raised via stock sales across multiple share classes.
- The company remains the largest corporate Bitcoin holder, far ahead of Marathon Digital’s 53,250 BTC, despite recent stock declines and valuation pressure.
According to a Nov. 3 Form 8-K filing with the U.S. Securities and Exchange Commission, Strategy Inc. disclosed that it acquired 397 Bitcoin (BTC) between Oct. 27 and Nov. 2, expanding its total holdings to 641,205 BTC.
The Tysons Corner, Virginia-based company noted the purchases were financed through proceeds from a series of at-the-market equity programs that generated $69.5 million across multiple preferred and common stock classes.
Roughly $54.4 million of that came from the sale of MSTR shares, while smaller amounts were raised through the company’s STRF, STRK, and STRD preferred stock issuances.
Strategy deepens bet on ‘digital gold‘
The latest filing shows that Strategy’s 641,205 Bitcoin have been acquired for roughly $47.49 billion at an average cost of $74,057 per coin. That figure captures more than five years of consistent accumulation, starting with the company’s first Bitcoin purchase in August 2020.
The acquisition further cements Strategy’s uncontested position as the dominant corporate holder of bitcoin. Its treasury of 641,205 BTC now dwarfs that of its nearest competitor, Marathon Digital Holdings, which holds 53,250 BTC. This means Strategy’s reserves are over twelve times larger, a gap that continues to widen with each weekly purchase.
The company is not alone in its conviction, as other industry players are also bolstering their balance sheets. Following its own substantial Q3 revenue, Coinbase CEO Brian Armstrong announced the exchange increased its Bitcoin holdings by 2,772 BTC and intends to “keep buying more,” placing it ninth on the list of corporate holders.
Notably, Strategy’s latest purchase follows a significant third-quarter earnings report in which the company posted net income of $2.8 billion, or $8.42 per share. That profit was primarily driven by mark-to-market gains on its existing bitcoin holdings as the price appreciated throughout the quarter.
However, a stark divergence has emerged between the company’s reported earnings and its stock performance. While its Bitcoin treasury grew in value, MSTR shares fell approximately 14% during Q3, with that decline accelerating into October as the stock’s premium over its net asset value compressed sharply.
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