MicroStrategy removed the Micro from its name, emphasizing its commitment to a strategy of buying digital gold.
Net loss in Q4 was $670.8 million; the company will transition to new accounting standards for digital assets.
In 2025, management expects to earn $10 billion from the revaluation of the first cryptocurrency.
MicroStrategy has rebranded to Strategy. The corporation explained the decision by its desire to reflect its position in the first cryptocurrency.
The main color of the symbol has changed from red to orange. The latter represents “energy, intelligence, and Bitcoin.” The new logo includes a stylized letter B, which reflects the strategy of buying and holding digital gold.
CEO Phong Le emphasized that Strategy is “innovating in two of the most cutting-edge technologies of the 21st century — Bitcoin and AI.” The name “powerfully and simply conveys the company’s universal and global appeal.”
The organization holds 471,107 BTC on its balance sheet, making it the largest corporate holder of the first cryptocurrency.
Strategy has spent a total of ~$30.4 billion on building Bitcoin reserves since August 2020, averaging $64,511 per coin. The position is currently valued at $46.3 billion.
According to the "21/21 Plan", adopted in October 2024, Strategy intends to raise $42 billion in equity and debt over three years.
The funds are intended to finance further bitcoin purchases. By early February, the company had raised about $20 billion, including $584 million since the beginning of the year, “well ahead of schedule.”
In December, Strategy management increased the volume of shares offered for sale under the initiative by more than $10 billion.
Net profit target — $10 billion
According to the results of October-December, the organization recorded a net loss of $670.8 million with revenue of $120.7 million. The corporation conducted a negative revaluation of digital assets by $1.006 billion compared to $39.2 million a year ago.
CFO Andrew Kang promised to switch to fair value accounting for coins under the new FASB methodology, which will “make the profitability of treasury operations more transparent.”
Strategy plans to generate $10 billion in net profit from its Bitcoin position by 2025. The goal is stated as a new KPI called “BTC Gain in $” (also added “BTC Gain”).
Previously, management approved the indicator "YTD Return on Investment." In 2024, the metric reached 74.3%, and since the beginning of the new year — 2.9% (target — 15%).
In the fourth quarter, Strategy purchased 18,887 BTC for $20.5 billion.
Earlier, the corporation's founder, Michael Saylor, said that he intends to turn it into a Bitcoin bank with a capitalization of $1 trillion.
Recall that by the end of 2033, MicroStrategy will own 4% of the total supply of digital gold — 830,000 BTC at a price of $1 million, according to Bernstein.