Strategy Buys More Bitcoin Than Your Entire Savings Account!

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Well, buckle up, folks! Business intelligence firm Strategy has just acquired a staggering 1,895 Bitcoins for a mere $180 million. Yes, you read that correctly—$180 million. That’s more money than you or I will probably see in our lifetimes, unless you’re secretly a Bitcoin wizard yourself.

In true Strategy fashion, the announcement was preceded by a little teaser from Executive Chairman Michael Saylor, who decided to drop the hint on Sunday via a social media post. You know, just a casual Sunday scroll through Twitter and—bam!—Saylor gives the world a little peek at what’s coming. Typical billionaire behavior, am I right? 🙄

As of now, Bitcoin is sitting pretty above the $94,000 mark, despite a slight dip of less than 1.5% in the past 24 hours. Because, of course, Bitcoin never likes to keep it simple. It’s always on a rollercoaster ride, making us all question our life choices as we watch the numbers go up and down. 🎢

Meanwhile, Strategy’s stock is, well, not exactly soaring. It’s down 3% in pre-market trading, following a 3% rise last Thursday. A classic case of “buy high, sell low,” but I’m sure they know what they’re doing… right?

And in case you were wondering, this isn’t the first time Strategy has gone on a Bitcoin buying spree. Just last Monday, the company announced a jaw-dropping $1.4 billion Bitcoin purchase. And here’s the kicker—they spent their entire $21 billion ATM offering in a matter of months. If only we could all make that kind of money disappear so effortlessly. 🤑

Oh, and don’t think Strategy’s done yet. Last week, they decided to go even bigger, doubling the capital they plan to raise for Bitcoin acquisitions to a mind-boggling $84 billion. Yes, you read that right—$84 billion. And, just in case they run out of money, they’ve got a backup plan: another $21 billion equity offering. Because why not?

The Biggest Threat to Strategy

But not everything is sunshine and rainbows in the land of Bitcoin. Last month, Matthew Siegel, head of digital research at VanEck, pointed out that the real danger to Strategy and other companies with similar plans is a collapsing premium. In other words, if Strategy’s shares start trading at a discount, their whole Bitcoin buying strategy could turn into a big ol’ disaster. Who knew that the world of high-stakes Bitcoin trading had its risks? 🙃

According to Siegel, as long as the shares are trading at a premium, everything should be fine, and they can continue issuing equity and buying more Bitcoin. But if things go south and they start trading at a discount, well, that’s when the Bitcoin yield engine breaks down. In simple terms, it’s like trying to keep your car running on fumes. Not ideal.

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2025-05-05 15:12