MicroStrategy has announced a record three-year plan to raise as much as $42 billion to purchase more Bitcoin—among the most ambitious institutional cryptocurrency investment plans to date.
MicroStrategy has announced a record three-year plan to raise as much as $42 billion to purchase more Bitcoin—among the most ambitious institutional cryptocurrency investment plans to date. Under the ambitious "21/21 plan," MicroStrategy intends to secure equal allocations of $21 billion through equity and fixed-income securities.
At current prices, the investment equates to about 578,586 BTC for MicroStrategy, making up some 2.7% of the total Bitcoin supply. The bold move underlines sustained confidence in cryptocurrency as a treasury reserve asset.
Phong Le, president and CEO of MicroStrategy, said the strategy represents higher returns on the company's Bitcoin holdings. The firm reportedly generated an impressive 17.8% Bitcoin yield year-to-date and forecasts an annual yield between 6% and 10% from 2025 to 2027.
This latest initiative follows MicroStrategy's successful $1.01 billion convertible senior notes offering in September which came with a 0.625% interest rate and 2028 maturity. That offering, targeted at institutional investors, provided options to convert for cash or company stock.
This Bitcoin-heavy strategy has proved lucrative so far, as MicroStrategy's stock performance has outpaced tech giant Microsoft over the last 25 years, up over 1,500% since 1999.