Strategy (formerly MicroStrategy), a famous American business intelligence firm and corporate BTC holder has revealed plans to raise about $21 billion to facilitate upcoming Bitcoin purchases. The funds will be raised through an at-the-market (ATM) stock offering program.
The $21 Billion Raising
An ATM (At-The-Market) offering allows a company to sell newly issued shares directly into the open market at prevailing prices rather than a fixed price set in advance. The market instrument gives Strategy flexibility to raise funds without setting a fixed price or timeline.
Under the leadership of its chairman and founder, Michael Saylor, the company claims the ATM program will involve the sale of perpetual strike preferred stock, which will be issued under the Securities Act. The sales will follow a Sales Agreement filed with the U.S. Securities and Exchange Commission (SEC).
Strategy aims to secure fresh capital by issuing more shares to expand its Bitcoin holdings further. While this strategy aligns with its long-term belief in Bitcoin as a superior store of value, it also comes with risks, such as potential market fluctuations. The company noted in its recent press release:
“Strategy intends to use the net proceeds from the ATM Program for general corporate purposes, including the acquisition of bitcoin and for working capital.”
Strategy’s Recent Bitcoin Purchases Accrues Unrealized Losses
Strategy has been a prominent institutional investor in Bitcoin since 2020. As of February 24, 2025, the company holds approximately 499,096 BTC, acquired at an aggregate price of $33.1 billion, averaging $66,357 per Bitcoin. The American Bitcoin maximalist is 904 units away from smashing the 500,000 BTC milestone.
Between November 2024 and February 2025, Strategy purchased an additional 246,876 BTC for $23.2 billion at an average price of $94,035 per Bitcoin. These holdings are currently valued at $20.2 billion, reflecting an unrealized loss of approximately $3 billion as Bitcoin’s price experienced volatility during the period.
In November 2024, Bitcoin reached a new all-time high, surpassing $90,000, and continued its ascent to over $100,000 by December 5, 2024. However, recent market fluctuations have decreased Bitcoin’s value, contributing to the unrealized losses in Strategy’s recent acquisitions.
