MicroStrategy (MSTR) has strengthened its position as the world’s largest corporate Bitcoin holder, adding 22,048 BTC for $1.92 billion. This brings its total holdings to 528,185 BTC, worth over $43 billion at current prices.

How MicroStrategy Funded the Purchase

The acquisition was primarily funded through common stock issuance, raising $1.2 billion in the week ending March 30. The company also tapped its STRK preferred share ATM, securing $18.52 million, and closed its STRF preferred share offering, adding another $711.2 million to its war chest.

This aggressive buying strategy has allowed MicroStrategy to average down its Bitcoin cost to $67,458 per BTC, despite paying $86,969 per BTC for this latest batch.

Is MicroStrategy’s Bitcoin Bet Paying Off?

With Bitcoin trading around $82,000, MicroStrategy’s holdings are currently worth $7.4 billion more than its total purchase cost. However, the stock price of MSTR has dipped 4% in premarket trading, mirroring Bitcoin’s 3% decline since the last market close.

This shows how closely tied MicroStrategy’s fate is to Bitcoin’s price swings—both a strength and a weakness.

A High-Stakes Strategy

MicroStrategy’s Bitcoin-first approach has made it a major player in the crypto world. However, its dependence on debt and equity issuance raises concerns about financial sustainability. If Bitcoin’s price falls, the company could face liquidity issues and stock dilution.

What’s Next for MicroStrategy?

CEO Michael Saylor remains committed to Bitcoin as a long-term store of value, betting on continued price appreciation. But with Bitcoin’s volatility and regulatory uncertainty, MicroStrategy’s bold strategy remains a high-stakes gamble.

Will it continue to pay off, or could market downturns put the company under pressure? Only time will tell.