MicroStrategy Bears Down and Buys More Bitcoin (BTC)

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Software giant MicroStrategy increases its bitcoin holdings

MicroStrategy Buys More bitcoin

MicroStrategy, the software company, has announced an increase in its bitcoin holdings since the end of Q2 of 2023. The company has purchased an additional 6,067 bitcoin, bringing its total holdings to 158,400.

In its recent financial results, MicroStrategy revealed that it has bought more bitcoin since the end of Quarter 2, 2023. The additional purchase means that MicroStrategy now holds about 0.75% of bitcoin’s circulating supply. The company bought another 6,067 bitcoins for $167 million, bringing its total holdings to 158,000 bitcoin. These coins were acquired at an average price of $29,585 per coin.

Michael Saylor, Chairman of MicroStrategy, shared on Twitter that the company purchased an additional 155 BTC for $5.3 million in October alone.

MicroStrategy’s Chief Financial Officer, Andrew Kang, stated in the company’s financial results that they remain committed to acquiring more bitcoin in anticipation of increased institutional adoption. Kang further added, “We further increased our total bitcoin holdings to 158,400 bitcoins, adding 6,067 bitcoins since the end of the second quarter. Our commitment to acquire and hold bitcoin remains strong, especially with the promising backdrop of potential increased institutional adoption.”

Kang also commented on the company’s total revenues, which increased by 3% year-over-year. He said, “And while we continue to grow our strong balance sheet, our Q3 operating results and growth in total revenues reflect the resiliency of our software business and establish a solid foundation to capitalize on AI in BI.”

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MicroStrategy Records a Wider Net Loss

Despite an increase in revenue, MicroStrategy reported a net loss of $143.4 million in the three-month period ending September 30, 2023. This is a significantly larger loss compared to the $27 million loss in the same period last year. MicroStrategy also experienced an impairment loss of $125.8 million in its bitcoin holding during this period. The company explained, “Provision for income taxes of $109.6 million and $24.0 million for the third quarter of 2023 and 2022, respectively, were reflected in net loss, principally reflecting changes in the valuation allowance on the Company’s deferred tax asset related to the impairment on its bitcoin holdings.”

Unrealized Gains Exceeding $100 Million

According to a report by the International Business Times, MicroStrategy made unrealized gains of over $100 million for its bitcoin position. These gains were achieved when the price of bitcoin surpassed the $30,000 level.

### News source: cryptodaily.co.uk

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