Strategy Inc. has purchased 17,994 Bitcoin (BTC) for approximately $1.28 billion, paying an average price of $70,946 per BTC, according to a filing with the U.S. Securities and Exchange Commission on Monday.
The acquisition took place between March 2 and March 8, and was funded using proceeds from the company’s ongoing at-the-market (ATM) equity issuance program, which allows the firm to sell shares into public markets to finance additional Bitcoin purchases.
Following the latest purchase, Strategy now holds 738,731 BTC, acquired for a total cost of about $56.04 billion, at an average purchase price of $75,862 per Bitcoin, inclusive of fees and expenses.
The purchase continues the company’s long-running strategy of converting corporate capital into Bitcoin reserves as part of its treasury policy.
ATM Share Sales Continue To Fund Bitcoin Accumulation
Strategy said the Bitcoin purchases were financed through proceeds generated from the sale of shares under its ATM securities offering program, which allows the company to periodically sell common stock and preferred stock directly into the market.
During the same period, the company sold 3,776,205 shares of its variable rate Series A Perpetual Stretch preferred stock, generating approximately $377.1 million in net proceeds, while also issuing 6,327,541 shares of Class A common stock, raising about $899.5 million.
Combined, the share sales generated approximately $1.276 billion, which the company used to fund the Bitcoin acquisition.
Also Read: Former CFTC Chair Says Banks Require Crypto Regulation More Than The Industry
The filing also disclosed that Strategy amended its existing sales agreement with several major financial institutions acting as agents for the ATM program.
The change allows the company to appoint multiple sales agents during different trading windows on the same day, potentially improving flexibility in executing share sales.
Strategy’s Bitcoin Strategy And Market Influence
Strategy, formerly known as MicroStrategy, has become the largest corporate holder of Bitcoin since first adopting the asset as its primary treasury reserve strategy in 2020 under executive chairman Michael Saylor.
The company began accumulating Bitcoin as a hedge against inflation and fiat currency debasement, gradually expanding the strategy by raising capital through convertible bonds, equity offerings and preferred stock issuance.
Over the past several years, Strategy’s aggressive accumulation has made the company one of the most influential institutional participants in the Bitcoin market.
Its purchases are closely monitored by investors because they represent some of the largest recurring corporate inflows into the cryptocurrency.
Read Next: Oil Spike And Equity Selloff Weigh On Crypto Markets As Bitcoin Tests $66,000