- Saylor’s $46B Bitcoin Bet: How Strategy’s Debt-Fueled Buying Spree Could Reshape Corporate Crypto Adoption.
- BlackRock’s 5% Stake and 12 States Back Saylor’s High-Risk, High-Reward Bitcoin Hoarding Strategy.
Michael Saylor, recently suggested through a post that the company plans to resume buying Bitcoin. The post, which included a price chart, followed a one-week pause after its last purchase on February 10, when the company added 7,633 BTC for $742 million. Strategy now holds 478,740 Bitcoin, worth approximately $46 billion as of late March. The company’s holdings are currently valued 47.7% above their aggregate purchase price.
The firm, rebranded as Strategy in February, continues advancing its “21/21” plan, a structured approach to allocate capital toward Bitcoin. On February 20, it priced a $2 billion convertible note offering—a type of debt that can be exchanged for equity—to fund additional acquisitions. Saylor has emphasized using financial tools like debt issuance to expand Bitcoin reserves, aiming to generate long-term value for shareholders.
Saylor: "We are probably getting a little too de-levered and we'd actually like to build more intelligent leverage."
More $MSTR Bitcoin-exposed securities coming in Q1👀 pic.twitter.com/zmxhQ1wuow
— Matt (@matt_utxo) December 20, 2024
Major institutions have shown confidence in Strategy’s model. BlackRock, the world’s largest asset manager with $11.6 trillion in assets, disclosed a 5% stake in the company on February 6. Twelve U.S. states also hold Strategy shares through pension or treasury funds. California’s State Teachers’ Retirement Fund leads with $83 million in exposure, followed by the California Public Employees’ Retirement System at $76.7 million. Other states include Texas, Florida, and Illinois.
While critics question the risks of concentrated Bitcoin investments, Strategy’s approach has drawn parallels to early corporate adopters of transformative assets. The company’s pivot to a Bitcoin-centric identity—evident in its rebranding and marketing—reflects its operational priorities. ETHNews analysts note that its ability to secure debt financing despite market volatility underscores institutional trust in its strategy.
As Bitcoin’s price fluctuates near record highs, Strategy’s moves are closely watched. The firm’s reliance on convertible notes allows it to delay equity dilution while funding purchases. With over $2 billion raised in its latest offering, the company appears poised to continue accumulating Bitcoin, reinforcing its position as the largest corporate holder of the cryptocurrency. Ethnews anticipates further updates as the 21/21 plan progresses through 2025.
