Microstrategy Buys Bitcoin Again, Ready To Disburse IDR 27.6 Trillion

Microstrategy, the company founded by Michael Saylor plans to buy bitcoin again. (Photo; Doc. Unchained)

JAKARTA - Virginia-based business intelligence company, Microstrategy (MSTR), announced plans to issue a conversion debt letter worth US$1.75 billion (Rp27.6 trillion) due in 2029. This funding will be used to increase bitcoin (BTC), amplifying Microstrategy's position as the largest corporate bitcoin holder in the world.

This debt letter is offered exclusively to institutional investors according to the Rule 144A Securities Act rules. In addition, investors are also given the option to buy an additional 250 million US dollars (Rp3.95 trillion). Unlike conventional bonds, these bonds do not offer regular interest. Investors will have the flexibility to convert these debt securities into cash, ordinary Microstrategy Class A shares, or a combination of both.

Microstrategy Has 331,200 Bitcoins

Microstrategy previously announced it had purchased 51,780 BTC, increasing its total holdings to 331,200 BTC, with a billion-dollar value based on current market prices. This strategy makes bitcoin part of the company's treasury reserves, as Microstrategy focuses on enterprise analytic services.

However, this step cannot be separated from controversy. Microstrategy's big dependence on bitcoin has left it vulnerable to market volatility, which is of concern to analysts and investors. Michael Saylor, founder and supporter of bitcoin, called this strategy a long-term step in line with bitcoin's principle of "sound money."

Microstrategy admits that the success of this offering depends heavily on market conditions. Until now, these debt securities are not listed under the Securities Act and are not available to the public. Even so, Microstrategy once again shows its commitment to bitcoin, despite the high risk of overshadowing the crypto asset.