MicroStrategy Acquires an Additional 580,000 Bitcoins, Outperforming BTC in MSTR Gains

05/26/2025

Bitcoin Reserve Strategy Pioneer MicroStrategy Acquires 4,020 Bitcoins

MicroStrategy, the pioneer of Bitcoin reserve strategies, has acquired 4,020 bitcoins at an approximate price of $427.1 million, with an average cost of $106,237. As of May 25, 2025, it has realized a BTC yield of 16.8%. As of the same date, MicroStrategy holds a total of 580,250 bitcoins, with a total cost of $40.61 billion and an average cost of $69,979 per bitcoin.

MicroStrategy Raises Funds to Buy Bitcoin

MicroStrategy has raised a total of $427 million through the issuance of:

$348.7 million from common stock MSTR
$67.9 million from 8% convertible preferred stock STRK
$10.4 million from 10% preferred stock STRF

All funds raised will be used to buy bitcoins. MicroStrategy has acquired 4,020 bitcoins at an average cost of $106,237. As of May 25, 2025, it holds a total of 580,250 bitcoins, with a total cost of $40.61 billion and an average cost of $69,979 per bitcoin.

MicroStrategy Announces Sale Agreements with Three Financial Institutions

Last week, MicroStrategy announced that it has signed sales agreements with three financial institutions, preparing to raise up to $2.1 billion through the issuance of preferred stock STRF.

MicroStrategy’s Growth Surpasses Bitcoin

MicroStrategy announced its Treasury Reserve Policy back in September 2020, which establishes Bitcoin as the company’s primary reserve asset. The company continues to buy Bitcoin not only using cash flow generated from its operations but also through debt and equity financing transactions.

The stock price of MSTR has surged over 28 times to date, significantly outperforming Bitcoin (shown in the purple line below, with an approximate increase of 8 times). This demonstrates its nature as a leveraged asset of Bitcoin, where its stock price exhibits greater volatility than Bitcoin.

MicroStrategy as an Arbitrage Tool

MicroStrategy has also become an arbitrage tool for many institutional investors. Notably, short-selling investor Jim Chanos recently stated in an interview with CNBC that the practice of companies like MicroStrategy acquiring Bitcoin through fundraising and then using “we own Bitcoin” as a justification to increase company valuation is extremely absurd. He advised investors to go long on Bitcoin while shorting MicroStrategy for arbitrage.

Risk Warning

Investing in cryptocurrencies involves significant risks, and their prices can be highly volatile, potentially leading to the loss of all principal. Please assess the risks carefully.