© Reuters.
Investing.com – Last month it was announced that bitcoin enthusiast Michael Saylor was stepping down as CEO of MicroStrategy (NASDAQ:).
There has been a lot of speculation as to whether this has to do with the having pulled back 70% from its all-time high. After all, Michael Saylor has been the driving force behind the company buying over 129,699 bitcoins over the years. With an average purchase price of just over $30,000, the current accounting loss is around $1 billion, which has been the source of the rumors.
Saylor may have resigned from his position as CEO, but at the same time he took over the position of Chairman of the Board of Directors and it seems that the management of the company has no intention of changing its strategy in terms of bitcoins.
Documents filed with the United States Securities and Exchange Commission (SEC) indicate that MicroStrategy intends to issue Class A common stock for a value of $500 million. This amount will then be devoted, at least in part, to the purchase of new bitcoins:
“We intend to use the net proceeds from this offering for general corporate purposes, including acquiring bitcoins.
Our bitcoin acquisition strategy involves acquiring bitcoins with cash in excess of working capital requirements. From time to time, depending on market conditions, we will issue bonds or stocks, or engage in other fundraising transactions, with the intent of using the proceeds of such transactions to purchase bitcoin.”
By Marco Oehrl