MicroStrategy’s Market Cap Soars Amid Bitcoin Bet

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MicroStrategy was one of the first to add bitcoin to its balance sheet, and the company has never looked back. Now, Michael Saylor, CEO of MicroStrategy, has got his hands on the company’s future plans, which should include buying more bitcoin. Based on MicroStrategy’s share price, investors can’t get enough of bitcoin either.

After purchasing around 9,000 bitcoins in the third quarter, MicroStrategy is ready to raise more capital for its bitcoin plans. Saylor said in the company’s third quarter earnings report,

“We will continue to assess opportunities to raise additional capital to execute our bitcoin strategy.”

The company distributed around $ 420 million for bitcoin in the third quarter at an average price of $ 46,876 per coin, bringing its total to around 9,000 coins purchased in the quarter. Meanwhile, the price of bitcoin is currently trading above $ 61,000. MicroStrategy’s approach is to buy and hold bitcoin for the long term, no matter what short term upsets along the way.

Long-term view

The third quarter came to a screeching halt before Bitcoin embarked on its latest bull run in which it has hit almost 40% since the end of September. As a result, MicroStrategy actually reported over $ 750 million in impairment losses related to its bitcoin wallet during the quarter.

Investors also appear to be focusing on the long term and have rewarded MicroStrategy for its bitcoin exposure. MicroStrategy’s market cap has swelled nearly 90% year-to-date to $ 7.5 billion as signs of bitcoin adoption have emerged. Today, stocks are up 2%.

Adoption of cryptography

Billionaire tech entrepreneur Mark Cuban is doing his part to accelerate bitcoin adoption in retail. The NBA Dallas Mavericks team, which Cuban owns, has pledged $ 100 in bitcoin to fans who download a crypto trading app called Voyager. To qualify, users must not only download the app, but also open an account, deposit $ 100, and complete a transaction.

Dallas Mavericks Digital Content Manager, Bobby karalla, was quick to point out that participants can also purchase a Shiba Inu coin on the Voyager app. Shiba Inu became a celebrity in the cryptocurrency community this week as its market capitalization skyrocketed past Dogecoin in a surprising rush.

Meanwhile, Adam Aron, CEO of the AMC Entertainment movie channel, is vote his supporters about the demand for Shiba Inu payments at the theater.

This article originally appeared on FX Empire

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