MicroStrategy founder Michael Saylor will begin implementing a daily selling plan for MicroStrategy stocks, with a value of approximately $216 million. Michael Saylor will personally use these funds to increase his holdings of Bitcoin.
Background:
The US accounting standards update allows for cryptocurrency to be accounted for at fair value. Michael Saylor has praised this development, stating that it is beneficial for companies to hold Bitcoin.
Michael Saylor, the founder of MicroStrategy, is one of the biggest believers in Bitcoin. According to SEC documents, Michael Saylor will begin implementing a daily selling plan, where he will sell 315,000 shares of MicroStrategy stock (MTSR) worth approximately $216 million.
The plan is set to begin on January 2nd of this year and will continue until April 25th, with 5,000 shares being sold each day. During a conference call in the third quarter of last year, Michael Saylor mentioned that these stocks were based on options acquired in 2014 when he chose to receive a salary of only $1. If these options are not exercised, they will expire. Saylor plans to use the proceeds from selling the stocks for personal financial planning, including the purchase of Bitcoin. He stated:
It’s not just Michael Saylor who recently publicly announced his decision to increase his holdings of Bitcoin. Since October, MicroStrategy has already made three consecutive purchases, and on December 27th, they announced an additional purchase of 14,620 BTC at a price of approximately $615.7 million, with an average price of $42,110. As of December 26th, MicroStrategy now holds 189,150 BTC, acquired at a price of approximately $5.9 billion, with an average price of $31,168 per Bitcoin.
Further reading:
Newsflash: MicroStrategy buys another 14,620 Bitcoins! HODL strategy earns $2.2 billion
MicroStrategy stock prices continue to rise. Since Michael Saylor received stock options in 2014, MicroStrategy’s stock price has mostly fluctuated between $100 and $200. However, it is worth noting that during the cryptocurrency bull market in 2021, MicroStrategy’s stock price briefly exceeded $1,000.
MicroStrategy Stock Price | Source: Google Finance
Today (3rd), all three major stock indices opened with declines. The Dow Jones Industrial Average fell by 0.50%, the Nasdaq Composite Index fell by 0.92%, and the S&P 500 Index fell by 0.63%. Meanwhile, blockchain-related stocks saw gains, with Marathon Digital’s stock price rising by over 13%, Riot Platforms’ stock price rising by over 10%, and MicroStrategy’s stock price rising by over 9%, reaching new highs in the near term.
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