MicroStrategy Buys $250M in Bitcoin, Calling the Crypto ‘Superior to Cash’

[Donneski]

Lol, it was a pretty average buy for Strategy.

Average buy for Microstrategy - maybe, but still huge for the flat illiquid market. Yet the price once again didn't react.

We can't expect the market to react on each purchase they made, since market is much bigger compare on the volumes they accumulate.

But still those announcement they made is great, because it will increase the confidence of people to continue to support Bitcoin.

As of the moment I'm interested to follow their tracks then see them reach another great milestone, which is to became the first company that holds 1 million Bitcoins.

On paper, $250m actually sounds big but relative to Bitcoin's relative volume, it's not something that's expected to have an instant impact on the market price. The market maturity has grown past reacting to every accumulation headline so it's normal that we didn't see any significant change.

That said, MicroStrategy is more interested in stacking as much as they can regardless of the conditions of the market and that kind of conviction is what influences market sentiment overtime rather than triggering quick pumps.

[fillippone]

This week, there were  no purchases trough STRC ATM:

You were right, this week's purchase was funded exclusively by MSTR shares sold through the ATM offering.

This another huge purchase they made create lots of noise in social media now. Lots of crypto social media pages are spreading this news like wild fire. It seems that lots of people will get hype with this latest purchase they made.

Lol, it was a pretty average buy for Strategy.

Indeed.
Tracking purchases might be easier now that we are getting more data to fit our models.
MSTR ATM facility is still a mystery tough.
And I think they should hurry up marking the dividend in STRC bimonthly.

[sergiorus]

Lol, it was a pretty average buy for Strategy.

Average buy for Microstrategy - maybe, but still huge for the flat illiquid market. Yet the price once again didn't react.

We can't expect the market to react on each purchase they made, since market is much bigger compare on the volumes they accumulate.

But still those announcement they made is great, because it will increase the confidence of people to continue to support Bitcoin.

As of the moment I'm interested to follow their tracks then see them reach another great milestone, which is to became the first company that holds 1 million Bitcoins.

On paper, $250m actually sounds big but relative to Bitcoin's relative volume, it's not something that's expected to have an instant impact on the market price. The market maturity has grown past reacting to every accumulation headline so it's normal that we didn't see any significant change.

That said, MicroStrategy is more interested in stacking as much as they can regardless of the conditions of the market and that kind of conviction is what influences market sentiment overtime rather than triggering quick pumps.

the volume is mostly HTF bots.
someone who's bidding that amount and NOT selling should alert all the market participants and the bots themselves unless there were sellers big enough to fill those bids.
anyway, i'm not seeing anything positive in that suit sweeping up Bitcoins all the time.
not even in terms of the price performance, also in terms of decentralisation.

[laspol65]

This week, there were  no purchases trough STRC ATM:

You were right, this week's purchase was funded exclusively by MSTR shares sold through the ATM offering.

This another huge purchase they made create lots of noise in social media now. Lots of crypto social media pages are spreading this news like wild fire. It seems that lots of people will get hype with this latest purchase they made.

Lol, it was a pretty average buy for Strategy.

Indeed.
Tracking purchases might be easier now that we are getting more data to fit our models.
MSTR ATM facility is still a mystery tough.
And I think they should hurry up marking the dividend in STRC bimonthly.

I think they will not declare dividends on STRC ATM shares because they are currently buying Bitcoin like jet fuel using STRC shares. So we may get the news of dividend announcement in a few more weeks because they are busy buying Bitcoin now.
News: https://x.com/i/status/2049247540499923332

[Popkon6]

Proposing to Pay STRC Dividends Semi-Monthly
Strategy is proposing to pay semi-monthly dividends on STRC, instead of monthly. If approved and adopted, we believe this would lead to reduced reinvestment lag, enhanced liquidity, market efficiency, and increased price stability.

To vote on the proposed amendment, you can either vote through your brokerage account or reach out to us if you have any questions. If you own both MSTR and STRC shares, make sure to vote FOR with both. The amendment only passes if both classes approve it.

How to Vote:
The voting process may vary depending on your broker. To learn how to vote, please select your broker from the list below. You must have been a shareholder as of April 17th to be eligible to vote. Some brokers outside the U.S. may not support proxy voting for retail shareholders. Please contact your broker to determine if you are eligible to participate in U.S. meetings.

Source link: https://www.strategy.com/strc/vote

In this case, you have the opportunity to vote online, you can also create an opportunity to vote using the control number. However, I like this strategy a lot, but only those who have shares can participate in the vote here. You can see the details in this link above.

[KawasakiNinja1_]

I think they will not declare dividends on STRC ATM shares because they are currently buying Bitcoin like jet fuel using STRC shares. So we may get the news of dividend announcement in a few more weeks because they are busy buying Bitcoin now.
News: https://x.com/i/status/2049247540499923332

Indeed by jet fuel we mean that they are mainly used in jet engines and turboprop engines, that is, it is an important liquid fuel, but Michael Saylor mentioned STRC as that important oil for his Bitcoin purchase, that is, he wanted to say that STRC stock is very important for his company to purchase Bitcoin.

They have achieved an unprecedented success with Bitcoin, maybe this success will continue to drive them, we all know that they now have 818,334 Bitcoins, as a result, they are one of the most important of the top holders.

[Ambatman]

In this case, you have the opportunity to vote online, you can also create an opportunity to vote using the control number. However, I like this strategy a lot, but only those who have shares can participate in the vote here. You can see the details in this link above.

Lol who else would have it if not people that would be bear the effect.

I don't really trust this ranking and data
It's like an evidence of rehypothecation
Coinbase doesn't own such amount of Bitcoin and if you adding them been custodian holding
Then strategy should be lower since Coinbase is among their custodian
Likewise Blackrock.

[Free Market Capitalist]

And I think they should hurry up marking the dividend in STRC bimonthly.

Proposing to Pay STRC Dividends Semi-Monthly
...

Source link: https://www.strategy.com/strc/vote

This is the timeline:



There’s no denying that they’re always striving to innovate and improve the implementation of their products.

In addition to the alleged benefits this could bring to the product, it might be more appealing to people in predominantly English-speaking countries, where they are accustomed to being paid every two weeks rather than once a month.

[sergiorus]

In this case, you have the opportunity to vote online, you can also create an opportunity to vote using the control number. However, I like this strategy a lot, but only those who have shares can participate in the vote here. You can see the details in this link above.

Lol who else would have it if not people that would be bear the effect.

I don't really trust this ranking and data
It's like an evidence of rehypothecation
Coinbase doesn't own such amount of Bitcoin and if you adding them been custodian holding
Then strategy should be lower since Coinbase is among their custodian
Likewise Blackrock.

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.
Which is still pretty scary because it indicates just how many people don't really control BTC they own.

[Free Market Capitalist]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

[sergiorus]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

Thanks for the heads up!
So it would appear Coinbase and Fidelity control far more BTC than one could imagine.
Either way, Strategy or not, that's a huge lot of Bitcoins controlled by a few guys in suits.

[avp2306]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

Correct since those institutions really don't have control on those private keys. Their Bitcoin is been handled by those firms you mentioned. But that situation didn't make their holdings looks unreal if we talk about corporate financing.

The main point of that is they are the beneficial owners, Strategy owns that Bitcoin even if they have those custodians holding the keys for them. 

Its similar on shareholders that own a stock then they choose to held it on a brokerage account. Then those custodians provides them security which is the main service they offer and not real ownership.

[WillyAp]

Correct since those institutions really don't have control on those private keys. Their Bitcoin is been handled by those firms you mentioned. But that situation didn't make their holdings looks unreal if we talk about corporate financing.

A huge temptation for a double balance sheet.
Imagine checking authenticity of 60 000 BTC.

[JayJuanGee]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.
Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.
Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.
BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

It can be confusing in regards to custodial arrangements if some of the keys are being held in multi-signature arrangements accross different custodians.  My head starts to spin in regards to potential custodial arrangements and what might be disclosed or not disclosed and even purposeful claims that proof of reserves are not necessary to establish, even for public companies who have obligations to shareholders... and even in regards to the extent to which coins are being allowed to be rehypothecated.  Recall recently there was a disclosure from Gamestop regarding their allowance of their 4,700 coins to be rehypothecated on coinbase, which it can be questioned about the extent to which rehypothecation is being allowed and how much the overall bitcoin supply is being diluted by such practices and also the extent to which certain coins are being put at risk or leading companies to questionable behaviors when they don't have close to as many coins as the outstanding claims on the coins.  
I doubt that the various custodian arrangements are being disclosed very well, even when public companies are involved... There is a certain culture that allows non-disclosure in regards to the public, yet from time there might be requirements that regulators or even the parties of lawsuits are entitled to some of the information, yet there could end up being a lot of disparate treatment in terms likelihoods that some companies are operating with holes in their books and some of the holes might be merely temporary yet the wholes might sometimes come because they are manipulating BTC prices with such holes or playing gambling games in which they are largely making money (ripping off) retail through arbitrage situations that they are able to exploit which also could have larger price manipulation impacts, too.  

Even though sometimes when arrangements blow up, the public will find out some parts of the shenanigans, yet even in the blow up situations, there tend to be a lot of details that don't end up coming out that are likely involving great cover-ups and protections of certain bad actors, and I am not even claiming to know details since so many times the arrangements are convoluted and headspinning and there are ONLY so many hours in the day to figure out... and bringing us back to likely secrecies in regards to both how coins are controlled and the extent to which they are being rehypothecated by permission or quasi-covertly.

Surely don't get me wrong, since for sure those bigger players should have incentives to police how their coins are being used to the extent that they are good-faith actors, and many times, there can be questions regarding the motivations and the intentions of some of the players, since many of us likely realize that they have abilities and even ongoing practices to play all sides of the fence at the same time, so they try to make profits no matter the direction of any of the sub-matters, even if some parts might blow up from time to time (and frequently the costs paid by retail to the extent that some bailouts might also be thrown in the mix to keep various chosen aspects of the system flowing and solvent).

[Ambatman]

It can be confusing in regards to custodial arrangements if some of the keys are being held in multi-signature arrangements accross different custodians.  My head starts to spin in regards to potential custodial arrangements and what might be disclosed or not disclosed and even purposeful claims that proof of reserves are not necessary to establish, even for public companies who have obligations to shareholders... and even in regards to the extent to which coins are being allowed to be rehypothecated.

This is the main issue I'm having
Most data on who owns what isn't accurate since we have nothing to back it
Custodians everywhere.
Saylor himself is aware of ZKP a means to give people some level of transparency
Without costing them much on privacy.

rehypothecation is being allowed and how much the overall bitcoin supply is being diluted by such practices and also the extent to which certain coins are being put at risk or leading companies to questionable behaviors when they don't have close to as many coins as the outstanding claims on the coins. 

Paper Bitcoin limiting the benefit of having a limited supply in circulation.
Imagine manipulations that would be going on in the backgrounds.
Don't trust verify
Really love that statement

They talk about audits to protect investors but we all know how the human heart works. Lobbying

[khiholangkang]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

Correct since those institutions really don't have control on those private keys. Their Bitcoin is been handled by those firms you mentioned. But that situation didn't make their holdings looks unreal if we talk about corporate financing.

The main point of that is they are the beneficial owners, Strategy owns that Bitcoin even if they have those custodians holding the keys for them. 

Its similar on shareholders that own a stock then they choose to held it on a brokerage account. Then those custodians provides them security which is the main service they offer and not real ownership.

Do you think this is a smart move, or is it a sign of an entity’s lack of independence in safeguarding its assets—to the point where it has to store them with another company to ensure their security?

We’re always talking about Bitcoin security and how we can control our own Bitcoin; in fact, many people say you shouldn’t store it anywhere other than where you have direct access to it. So shouldn’t companies be able to store their own assets themselves?

[suzanne5223]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

I think one of the problems we have in the crypto space is that some Bitcoiners still don't understand that institutional investors and ETF holding organizations are only into Bitcoin to profit from and to create a form of centralization that gives them the upper hand in the Bitcoin space, which is against the concept of BTC creation.
This is why I'm surprised that some people still celebrate the accumulation of Strategy and ETF holdings by organizations, while others are investing in their platform when we need to prioritize self custody. Besides, I won't be surprised if these organizations are the weapon of the government to successfully hold a huge portion of BTC.

[sergiorus]

it would have been accurate if it was called "Bitcoin CONTROLLING entities" as they *control* the private keys of the wallets that hold those Bitcoins but don't legally *own* them.

False. Every day when I read a statement about Strategy or similar organizations—whether in this thread or others on the forum—it contains some falsehood.

Strategy and the other entities you mention do not have the private keys to the bitcoins they hold.

In Strategy's case, its Bitcoins are held across Coinbase and Fidelity Custody.

Saylor’s Strategy Moves Over $5 Billion in Bitcoin From Coinbase to Fidelity — Here Is What’s Really Going On

For its part, BlackRock holds Ibit’s bitcoins across Coinbase and Anchorage Digital Bank.

BlackRock Strengthens iShares Bitcoin Trust (IBIT) Custody with Anchorage Digital Bank

It is these entities—the custodians—that hold the private keys.

I think one of the problems we have in the crypto space is that some Bitcoiners still don't understand that institutional investors and ETF holding organizations are only into Bitcoin to profit from and to create a form of centralization that gives them the upper hand in the Bitcoin space, which is against the concept of BTC creation.
This is why I'm surprised that some people still celebrate the accumulation of Strategy and ETF holdings by organizations, while others are investing in their platform when we need to prioritize self custody. Besides, I won't be surprised if these organizations are the weapon of the government to successfully hold a huge portion of BTC.

now imagine what will happen when JPMorgan starts accepting Bitcoin as a collateral (they have announced they would, maybe they already do idk).
at this points it's just a matter of time when suits control disturbing amount of Bitcoins and they won't even need to formally ''own'' them.

[Donneski]

Michael Saylor updated this on his X account less than an hour ago.

MSTR have now gained a little above 63k BTC this year and holding almost 4% of total supply.

Regardless of the side of the argument you are on, this is surely a massive position by any standard.

At this rate, I think it's safe to say that MSTR is slowly turning to a whale on it's own.

Love him or doubt him, you just have to accept that Saylor's conviction is on another level.

[suzanne5223]

now imagine what will happen when JPMorgan starts accepting Bitcoin as a collateral (they have announced they would, maybe they already do idk).
at this points it's just a matter of time when suits control disturbing amount of Bitcoins and they won't even need to formally ''own'' them.

Well, JPMorgan has already stated the process of accepting Bitcoin as collateral for institutional loans, and this is the reason why we have to ask ourselves what would make JPMorgan make this move if not they fully see a strong potential in Bitcoin beyond how some so called Bitcoiner sees BTC.
This is why we need more Bitcoiners to practise the self custody holding of their BTC, otherwise the constiquency will be much for us to bear when the private organization and institution have the most BTC in their custody.