MicroStrategy has increased its corporate treasury by 5,445 Bitcoin, demonstrating its consistent commitment to the cryptocurrency.
158,245 Bitcoins (BTC) total, obtained at an average price of nearly $29,582 per Bitcoin, or roughly $4.68 billion, are now in the possession of MicroStrategy.
Michael Saylor, CEO of MicroStrategy, has been a vocal supporter of Bitcoin, referring to it as “digital gold” and highlighting its function as a strategic treasury reserve asset. With this most recent acquisition, MicroStrategy has solidified its place as one of the leading institutional investors in Bitcoin.
Those who have been monitoring MicroStrategy’s progress in the cryptocurrency space are not surprised by the decision.
When it made its maiden acquisition in August 2020, the corporation launched its first foray into Bitcoin investments. Since then, it has kept acquiring Bitcoin, even financing some of its purchases with loans.
As this video from Bitcoin Historian Pete Rizzo demonstrates, Saylor has maintained that Bitcoin is “underestimated” in comparison to other crypto industry potential. Saylor has frequently said that altcoins should be sold because they are overpriced.
It’s uncertain if more institutions will emulate MicroStrategy as Bitcoin gains recognition as a store of value and a potential hedge against economic volatility.
The allure of exchange-traded funds (ETFs) had Bitcoin enthusiasts riding high on a wave of excitement this past summer, but it appears the tide has abruptly flipped.
Despite earlier indications to the contrary, achieving approval for a US Bitcoin ETF still appears to be a distant goal.
As the drama plays out, the Securities and Exchange Commission (SEC) continues to put off the approval of large asset management companies like Fidelity and Invesco’s applications for Bitcoin ETFs.
When BlackRock Inc., a major fund company, got on the Bitcoin ETF bandwagon in June, many people thought they might be holding the magic wand.
Bitcoin’s price increased due to the speculative nature of the cryptosphere, under the assumption that BlackRock had an advantage over its rivals. But as it is, BlackRock’s participation has merely increased tension and brought about eventual disappointment.
After BlackRock’s announcement, Bitcoin prices did indicate a hopeful 20% increase, but by August, the steady rise abruptly came to an end. The reason? Due to rising interest rates, there has been a long waiting period and a decline in the general enthusiasm for cryptocurrencies.
The cryptocurrency community is well aware of the unpredictable relationship between Bitcoin and ETFs. By the conclusion of the week, Bitcoin had entered its third straight dip after a roller-coaster of price changes, hovering around the $25,700 level.
Even worse, the SEC’s postponements of the ETF ruling served as further proof of the market’s inherent fragility.
It’s possible that October will serve as the final month. The SEC is now on a 45-day countdown to provide their next answer because of the recent deferments that are still in effect. This implies that the cryptosphere will undoubtedly awaken by mid-October.
In addition, the SEC will need to decide how to respond to the Grayscale ruling. The introduction of ether-futures ETFs, which, rumors have it, the SEC might just approve, is a third change to look forward to in the upcoming month.