MicroStrategy CEO reveals details of $175m Bitcoin purchase

74 hours of continuous trading, 88,617 orders for 0.19 BTC every three seconds or $39,414 in BTC per minute. This is how, according to MicroStrategy CEO Michael Saylor, the company organised the purchase of its latest tranche of cryptocurrency.

To acquire 16,796 BTC (disclosed 9/14/20), we traded continuously 74 hours, executing 88,617 trades ~0.19 BTC each 3 seconds. ~$39,414 in BTC per minute, but at all times we were ready to purchase $30-50 million in a few seconds if we got lucky with a 1-2% downward spike.

— Michael Saylor (@michael_saylor) September 18, 2020

He added that the company was prepared to spend $30-50 million on the Bitcoin purchase within a few seconds if its traders could catch a 1-2% downward spike in price.

In August, the analytics-software provider bought 21,454 BTC (~$250 million at the rate at the time of the deal), becoming the first public company to allocate part of its capital to Bitcoin. MicroStrategy shares trade on the Nasdaq.

Earlier this week the company purchased a further 16,796 BTC for $175 million. Total MicroStrategy investments in Bitcoin, including fees and expenses, were valued at $425 million by Michael Saylor.

This was preceded by a decision by the company’s board of directors on a new reserve-management policy, confirming readiness to ramp up investments in Bitcoin and to use the cryptocurrency as the primary reserve asset on a permanent basis.

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