MicroStrategy (MSTR) is on a bullish run – its stock surged 8% as the company reaps the benefits of Bitcoin's rapid appreciation. The firm’s crypto holdings are on track to deliver an unrealized profit of up to $14 billion for the second quarter.
🔹 Massive Bitcoin Holdings: The company owns over 528,000 BTC, which were worth around $43.5 billion at the end of March. With Bitcoin gaining over 30% since then, the current value of these assets has jumped to nearly $57 billion, resulting in a potential $13.5–14 billion unrealized gain.
🔹 New Accounting Rules: Thanks to updated standards, MicroStrategy now reflects Bitcoin’s market value in real-time on its balance sheet—eliminating the need to sell crypto to report profits.
🔹 Bitcoin as the Growth Engine: While the company’s core software business is expected to generate just $112.8 million in revenue for Q2, Bitcoin remains the key driver of earnings.
📊 MSTR Outpaces the Market—and Even Bitcoin
🔹 MSTR stock surged over 40% in Q2, easily beating Bitcoin’s ~30% gain and the S&P 500’s 11% rise.
🔹 Long-Term Performance: Since 2020, MicroStrategy stock has skyrocketed over 3,300%, while Bitcoin itself is up around 1,000%.
🔹 Betting Big on Crypto: Similar to Japan’s Metaplanet, which also turned to BTC, MicroStrategy continues to attract crypto bulls and institutional investors.
💼 A Strategy That’s Captivating Wall Street
MicroStrategy is funding its Bitcoin acquisitions through a mix of stock offerings, bonds, and preferred shares. Investors are also buying into STRK, the company’s preferred stock class offering high yields.
While some skeptics like short-seller Jim Chanos argue that the premium built into MSTR’s stock is unjustified, chairman Michael Saylor maintains that holding BTC on the balance sheet offers long-term financial strength.
#MSTR , #MicroStrategy , #stockmarket , #MichaelSaylor , #Investing
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“