- MicroStrategy Bitcon now worth over $500 million
- The firm CEO now a crypto bull
- MicroStratgey to hold crypto for 100 years
Recall that business intelligence firm MicroStrategy invested in Bitcoin. They bought crypto worth $425 million back in August and September. The firm’s crypto has surged by up to 21 percent and now worth around $517 million.
MicroStrategy Bitcoin surge can only be traced to the rise in Bitcoin price over the past weeks. The king of crypto price has continued to go up, hitting it yearly high of $14k. MicroStrategy is one of the top gainers.
The surge has made the firm’s CEO, Michael Saylor, incredibly bullish these days. He now argues that Bitcoin is digital gold.
Why Bitcoin investment?
The firm, despite being listed on Nasdaq, still staked on Bitcoin. Michael Saylor, who also said back in 2013 that the days of Bitcoin are numbered, and the crypto would end up like online gambling is now bullish about it.
Saylor disclosed that the firm decided to buy Bitcoin after decision-makers and investors in the firm gave the nod. According to him, MicroStrategy Bitcoin is not a hedge or speculation. Rather it is a strategy to adopt the Bitcoin standards.
The impact of COVID-19 on the global economy was another reason why MicroStrategy had to look towards alternate means of investment. They had to stake on assets that can preserve the value of its capital in the long-term.
According to Saylor, Bitcoin became the choice when they discovered other assets are vulnerable to taxes and ridiculous fees.
MicroStrategy Bitcoin journey, how it began
MicroStrategy Bitcoin journey began with a $250 million investment in Bitcoin. Afterward, the firm announced an additional investment of $175 million., bringing the total to 38,250 at an aggregate purchase price of $425 million.
Now, the investment is history for the firm as they begin counting their gains. In an interview with Raoul Pal, Saylor said that the firm plans to hold the digital asset for over 100 years.
He also said that Bitcoin is an ultimate inflation hedge that is one thousand times better than gold.