Although Michael Saylor recently raised $467 million through the sale of category A stocks, it did not purchase any bitcoin. As at 13 July, the company still held 843,775 BTC at a cost of approximately $63.69 billion, with an average purchase price of $75,476 per bitcoin.
Why didn't you buy bitcoin?
Over the years, the company has followed a simple strategy of raising funds and quickly converting them into bitcoin. However, the company chose to hold cash. The decision was made after the company announced on 6 July that it would sell approximately $216 million in bitcoin to increase its liquidity.
Many market participants believe that the company may be waiting for better purchasing opportunities, especially when there may be a major return to Bitcoin. The view was also expressed that such a move was linked to the company ' s growing priority shareholding, and that holding more cash could enhance balance sheets, help to pay dividends and debt obligations and enhance investor confidence.
Company cash reserves continue to grow
In addition to holding bitcoin, the company now holds one of the largest cash reserves in history. The company reported an increase of about $450 million in cash reserves to $3 billion. In addition, companies still have over $23.7 billion in financing space under their marketing schemes.
At present, the company appears to have adopted a more flexible approach to financial management, rather than immediately converting each dollar into bitcoin, but creating liquidity to deploy when market conditions are more attractive.