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BTC is popular? MicroStrategy buys 4.6 billion pounds to buy in, with its stock price outperforming Buffett's company in annual gains.
Subvert traditional investment thinking, BTC strategy brings amazing returns
As a business intelligence software company, MicroStrategy, since boldly adopting BTC as a strategic reserve asset in August 2020, MSTR's stock price has skyrocketed by an astonishing 2,295.74% (as of the time of completion, the stock price is 384.79), a surge that not only far outperforms the 36.02% performance of 'Stock God' Buffett-led Berkshire Hathaway during the same period, but also sets the largest lead margin since the Internet bubble era.
According to the latest analysis by financial market chart company Barchart, the ratio of MicroStrategy to Berkshire Hathaway Class B stocks has risen to 0.72, approaching the historical high of the dot-com bubble era, indicating a high level of investor recognition of digital asset investment strategies.
Source: Barchart The ratio of MicroStrategy to Berkshire Hathaway Class B stocks has risen to 0.72, rapidly approaching the historical high point of the dot-com bubble period.
Become the largest BTCholder in the enterprise, and the investment performance comprehensively suppresses traditional assets
Under the leadership of founder Michael Saylor, MicroStrategy has become the world's largest enterprise BTC holder. According to data from Bitcoin Treasuries, MicroStrategy currently holds 331,200 BTC, with a total value of a staggering 30.3 billion at the current market price of 91,500 per BTC.
It is worth noting that the company's most recent large-scale purchase occurred yesterday (11/18). According to the documents submitted by the company to the SEO, the company spent $4.6 billion to buy 51,780 BTC at an average price of $88,627 per coin, maintaining an average purchase cost of $49,874 per coin. These BTC reserves now account for more than 1% of the current market circulation, highlighting MicroStrategy's important position in the digital asset market.
Source: Bitcoin Treasuries MicroStrategy currently holds 331,000 BTC
What is even more surprising is that MicroStrategy's investment performance not only far surpasses Berkshire Hathaway, but also outperforms the S&P 500 index by 71.31% pump, as well as the major investment targets in Berkshire Hathaway's investment portfolio. Among them, the stock price of Bank of America (BAC) rose by 76.15% pump, American Express (AXP) grew by 171%, and Apple (AAPL) stock price climbed by 86%, these TradFi and tech giants' performances pale in comparison to MicroStrategy. Even BTC itself only rose by 673.83% pump during the same period, far less than the surge in MicroStrategy's stock price.
Image source: Georgefxpips MicroStrategy's stock price growth outperforms other traditional industries
Enterprises adopting BTC reserves as a new trend, with high market expectations.
Such impressive investment results are subverting the traditional investment community's perception of Cryptocurrency. Despite Warren Buffett's derogatory comment on BTC as the 'RATS squared' and his late business partner Charlie Munger's prediction that the BTC price will eventually drop to zero in 2021, the success story of MicroStrategy is already generating significant demonstration effects in the corporate world.
Further Reading Once called BTC a 'nerve gas bomb'! Warren Buffett's comrade Charlie Munger passed away, and he had revealed '12 investment insights' before his death.
Solidion Technology, the latest US battery material supplier to join the BTC investment ranks, officially announced in November that it has adopted BTC as a reserve asset and completed its first purchase. The company plans to invest 60% of its excess cash reserves in BTC and has committed to converting the interest income from other investments, such as currency market accounts, into BTC, demonstrating a high level of confidence in digital assets. Similarly, Metaplanet, a Tokyo-listed investment company, also adopted a similar strategic reserve policy in May.
MicroStrategy founder Michael Saylor is optimistic about the future development of BTC. He boldly predicts that the price of BTC may soar to an astonishing 13 million within the next 21 years. This prediction may sound unbelievable, but considering BTC as a strategic asset against inflation and its outstanding performance in enhancing shareholder value, more and more companies may follow in the footsteps of MicroStrategy and include BTC in their reserve asset portfolios.
With the continued adoption by institutional investors and more companies including Bitcoin in their reserve assets, the digital asset investment revolution that began with MicroStrategy seems to be just getting started. This not only proves the importance of digital assets in corporate financial management, but also provides a compelling case for the traditional investment community to transition to digitization.
[Disclaimer] There are risks in the market, and investment should be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investing based on this is at your own risk.
Is BTC really fragrant? MicroStrategy smashed 4.6 billion euros to buy, and the stock price surged more than Buffett's company.