🔸️According to Cointelegraph, the co-founder of the strategy, Michael Saylor, announced an upcoming purchase of Bitcoin (BTC) as the company's total holdings exceeded $71 billion. The company's latest purchase was on July 14, when it bought 4,225 Bitcoin for $472.5 million, increasing its total holdings to 601,550 Bitcoin, worth over $71.4 billion. This investment resulted in a 66.5% increase in value, translating to over $28.5 billion in unrealized gains, as reported by SaylorTracker.
🔸️Bitcoin treasury companies, with the strategy at the forefront, continue to drive demand for Bitcoin in the current market cycle, alongside ETFs, institutional investors, and centralized cryptocurrency exchanges. The company’s stock rose by about 21.52% over the past month, raising the overall valuation of the strategy to over $118 billion. This rise in stock coincided with an increase in the cryptocurrency market, where the total market capitalization surpassed $4 trillion in July, and Bitcoin reached a new all-time high.
🔸️In December 2024, the Nasdaq 100 stock market index strategy entered, reflecting the increasing demand from institutions for its shares. Some institutional investors seek exposure to Bitcoin but face restrictions that prevent them from holding Bitcoin directly in their investment wallets. These investors often choose to hold shares of Bitcoin treasury companies or buy their debt products as an alternative to holding BTC. Macroeconomic analyst Lynn Alden highlighted that many managed capital funds have strict orders, limiting portfolio managers to only buy stocks, not bonds, ETFs, or commodities.
🔸️Vanguard, a major institutional investment company, has historically opposed holding or offering Bitcoin directly to clients. However, it now owns 20 million shares of the strategy, representing about 8% of the company's traded shares. This indirect exposure to Bitcoin through a publicly listed company highlights Bitcoin’s integration into traditional finance via traditional investment means.
