Tysons software company converts $425M cash holdings to bitcoin

MicroStrategy CEO Michael Saylor made announcement via Twitter

Published September 16, 2020 by Sydney Lake

The CEO of Tysons-based business software company MicroStrategy Inc., Michael Saylor announced Tuesday that the company has now purchased $425 million worth of bitcoin.

In August, the company had announced that it had converted $250 million from its cash holdings into more than 21,000 bitcoins, making it one of the first public companies to use cryptocurrency for cash holdings. The company announced in August it would keep its bitcoin holdings on its corporate treasury reserve — which Saylor said in a statement would be the principal holding in its treasury reserve strategy.

“On September 14, 2020, MicroStrategy completed its acquisition of 16,796 additional bitcoins at an aggregate purchase price of $175 million,” Saylor announced in a tweet. “To date, we have purchased a total of 38,250 bitcoins at an aggregate purchase price of $425 million, inclusive of fees and expenses.”

On September 14, 2020, MicroStrategy completed its acquisition of 16,796 additional bitcoins at an aggregate purchase price of $175 million. To date, we have purchased a total of 38,250 bitcoins at an aggregate purchase price of $425 million, inclusive of fees and expenses.

— Michael Saylor (@michael_saylor) September 15, 2020

Saylor said at the time of the August announcement that the bitcoin investment was part of its “new capital allocation strategy, which seeks to maximize long-term value for our shareholders.”

The company has yet to make a formal statement or announcement regarding the latest bitcoin purchases.

MicroStrategy employs approximately 2,400 people and offers business data analytics software.