US business intelligence company MicroStrategy announced another bitcoin (BTC) purchase, in a period when the cryptocurrency has risen in price.
Between July and August this year, the company led by Michael Saylor, bought 3,907 bitcoins
for USD 177 million at an average price of USD 45,294 per BTC, including commissions and taxes.
So far, MicroStrategy has in its possession 108,992 bitcoins purchased for a total of USD 2,918,000,000,000, at an average price of USD 26.769 per bitcoin.
If you calculate the amount of bitcoins held by the company, at the current price
of the cryptocurrency, MicroStrategy has USD 5,300,000,000,000. This represents an average profit of USD 2,482,000,000,000. With this new purchase of BTC by MicroStrategy, it consolidates its position as the company with the most bitcoin in its possession. Source: elements.envato.
Looking back, the company’s first purchase was 21,454 BTC for USD 250 million in August 2020. Since then, those coins increased 4x in price, earning the company a 400% increase in profits.
MicroStrategy has won and also lost
While MicroStrategy’s bitcoin purchases have generated juicy profits, it also reported occasional losses in recent months
The company reported that in the second quarter, it lost USD 300 million on the back of falling BTC prices.
“The net loss for the second quarter of 2021 was USD 300 million, or USD 30.71 per share,” they announced in a report picked up by CryptoNews.