Key Takeaways:
- Share Expansion for Bitcoin Plan: MicroStrategy seeks shareholder approval to expand authorized shares to fund its $42 billion 21/21 Bitcoin acquisition plan.
- Aggressive Bitcoin Holdings: The company now holds 444,262 BTC, acquired at a total cost of $27.7 billion, with current valuations at $43.53 billion.
- Stock Performance: Driven by its Bitcoin-centric strategy, MicroStrategy’s stock has surged over 422% year-to-date.
MicroStrategy has filed with the SEC to seek shareholder approval for expanding its share authorization as part of its ambitious Bitcoin-focused “21/21 Plan.”
The proposal aims to increase authorized Class A common stock from 330 million to 10.33 billion shares and preferred stock from 5 million to over 1 billion shares.
MicroStrategy has called a shareholder meeting to expand on their $42b Bitcoin acquisition plan.
— Bitcoin Archive (@BTC_Archive) December 24, 2024
$100 Billion? 😉 pic.twitter.com/z1R9ZrcUov
This move would enable greater flexibility for issuing additional shares to fund the plan and other corporate activities.
Unveiled in October, the 21/21 Plan targets the acquisition of $42 billion worth of Bitcoin over three years, with $21 billion raised through equity sales and another $21 billion via fixed-income securities.
The company has made significant strides, raising $13 billion through stock issuances and $3 billion via convertible bond offerings since the plan’s announcement.
JUST IN: MicroStrategy announces a Special Meeting for shareholders to vote on key proposals designed to accelerate the 21/21 Plan, streamline capital raising, and align director compensation with the company’s Bitcoin-focused strategy.
— Bitcoin News (@BitcoinNewsCom) December 23, 2024
Key proposals include:
1. Increasing… pic.twitter.com/fFrEdo6A1N
In December 2024, MicroStrategy purchased 42,162 BTC, bringing its total holdings to approximately 444,262 BTC, valued at $43.53 billion.
These were acquired at an average purchase price of $62,257 per BTC, reflecting a total cost of $27.7 billion.
The company’s Bitcoin-driven strategy has contributed to a 422% year-to-date surge in its Nasdaq stock price.
While the shareholder meeting date is pending, MicroStrategy’s next earnings report is scheduled for February 2, 2025.
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Efe Bravo, a seasoned journalist, delivers compelling insights into the cryptocurrency and blockchain industry.
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