MicroStrategy (MSTR) announced that it will hold a special shareholder meeting to approve changes to its stock issuance strategy to raise additional Bit.
The company has already completed three Bit purchases in December.
MicroStrategy Continues Bit Accumulation Strategy
According to the proxy statement filed with the SEC on December 23, MSTR plans to increase the authorized shares of Class A common stock and preferred stock. This move is to provide more flexibility for future stock issuances.
In simple terms, the company wants approval to significantly increase Class A common stock from 330 million to 10.33 billion shares, and preferred stock from 5 million to over 1 billion shares.
The proposed changes are in line with MicroStrategy's 21/21 plan first unveiled in October, which aims to acquire $42 billion of Bit over 3 years.
These Bit purchases will be funded through $21 billion in stock sales and $21 billion in fixed-income securities.
"If you don't buy Bit at the top, you miss the money," Michael Saylor posted earlier today.
MicroStrategy expanded its Bit purchases in 2024, acquiring 42,162 BTC in December alone, worth over $4 billion at current prices.
As of October, the company reported a 17.8% Bit yield, targeting 6-10% annual returns from 2025 to 2027. It has already raised $13 billion from stock sales and $3 billion from convertible bond issuances.
However, the company is reportedly pausing purchases temporarily in January.
Overall, the strong performance of Bit in 2024 has positively impacted MicroStrategy's stock, with MSTR up over 420% from the start of the year. This value increase has included it in the Nasdaq-100, and it may be added to the S&P 500 next year.
"Last week, MSTR's Bit treasury generated a 0.72% Bit yield, which is about $299 million in net profit. At $94,000 per BTC, that's a gift to shareholders," Saylor posted on X (formerly Twitter).
Other companies, including Marathon Digital Holdings (MARA) and Riot Platforms, have also ramped up their Bit purchases. Despite these trends, MicroStrategy remains the largest corporate Bit holder with Michael Saylor's aggressive accumulation approach.
