1Lun·

MicroStrategy may increase the outstanding shares by a factor of 30(!)!

The $MSTR (-0,42 %) shareholders have approved the Board's plan to increase the number of their outstanding shares by a factor of 30 in order to finance additional purchases. $BTC (-3,33 %) finance additional purchases.


This decision will allow the company to raise more capital through the sale of new shares and thus further expand its Bitcoin holdings.


The question now arises: is Michael Saylor a genius or has he become a megalomaniac?


Source: https://www.bloomberg.com/news/articles/2025-01-21/microstrategy-share-increase-approved-to-fund-bitcoin-purchases

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37 Comentarios

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I suspect both😅
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How much longer until this huge bubble bursts
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@portfolio_wizard_1415 Since the convertible bonds all have very long maturities, I don't see any major danger yet (at least for the next bear market).
So it may take a long time😅
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@portfolio_wizard_1415 ah Gerald. We exchange opinions, analyses, news, etc. on all kinds of assets here and only rarely do you find any empty phrases from Krone or Bild.
If you think BTC or other crypto assets are a bubble that will soon burst, please share YOUR analysis - and try to explain how YOU came to this conclusion.
We can then have a good discussion about it.
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So a money printing machine I don't have to understand everything about the stock market. I'm only in with 5 shares.
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@Pzjs I've only been on the stock market for 1 month and still have to get rid of my eggshells, bear with me, it's all new territory for me
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@portfolio_wizard_1415 In principle, it's a money printing machine, genau🤷‍♂️
MSTR has the ability to borrow money at 0% interest. They use the money to buy Bitcoin.
The lenders can then demand the money back in X years (usually 5 years I think) or receive shares at a fixed price. If the share has performed well, the investors can achieve a good return. If the share performs badly, they can get their money back.
MSTR has effectively built a bridge from the bond market to Bitcoin. This allows the bond market to participate in the returns of Bitcoin, but without having to bear the full risk.
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@portfolio_wizard_1415 tip for the 2nd month - only buy things that you understand (industry, business model, etc.) no matter what the "google forecast" says about it.
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Thanks, so far I've mainly used "classics" like Microsoft, but I also read a lot, unfortunately a lot of garbage, so many insider tips on Google advertising. My bank also offers some webinars, so I can get tips from all the information and misinformation and form my own opinion before I invest real money.
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They have to, since most of the original 42 billion from the 21/21 plan should already have been used up, right? But I don't have it exactly in my head now. I like watching Saylor interviews, but he's always throwing numbers around - I'm always confused afterwards. 😵‍💫
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@Ash Yes, that's right, the 42 billion will soon be gone😂 Did you see his interview with Julian from Relai? He talked quite a lot about the future strategy there :)
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@stefan_21 No, I haven't heard of it yet. 😆Do you have a link for me?
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Sometimes one is not so far removed from the other
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Make the snowball bigger to attract even more snow. Let's see what happens in spring ☃️
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The announcement alone is a goldmine...
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I think Saylor will be the reason why it will really crash again later and when that's over I'll buy more BTC again. Hopefully I'll be out before then 😄
Currently holding BTC & MSTR
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I sold Micro at the high 2 days ago, it was clear that it would be diluted again and the price would fall. From now on, if I want Bitcoin, I'll invest directly in Bitcoin! This guy is making money with my money, money, I don't see it anymore.
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@Bonchance you are absolutely right, you should always prefer Bitcoin :)

Regarding dilution: Dilution of shares at Microstrategy is not the same as at other companies. Saylor dilutes the shares on the condition that the Bitcoin/share ratio has increased afterwards. That is why they also state the resulting Bitcoin yield per share after each purchase :)
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So invest in $MSTR or $BTC... or both 😂😂
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So should I buy MSTR now or only after the split?
What happens if I own 0.2 MSTR shares, will they also be taken x30?
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@Fred999 No, not per se. MSTR has obtained the "OK" to dilute the shares by a factor of 30. This means that whenever they can improve the Bitcoin/share ratio by issuing new shares and buying Bitcoin, they will do so :)
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@Fred999 buy would have been good at USD 295 - 310. So early/mid-January, for example.
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@Pzjs is still good!
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@Alexander_Bitcoin Well, that could be true in the long term. But to buy, it would be better to take advantage of setbacks than to wait until the price goes towards the top again. But everyone can hold it however they like.
Although the environment doesn't look like it at the moment, mstr remains a very risky stock.
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1Lun
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@DonkeyKongx I don't think he's going to issue so many shares in one go now😅
I rather think that this is a preparation for the future. Whenever he can increase the share/bitcoin ratio by issuing new shares, he will probably do so
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1Lun
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@DonkeyKongx he makes money with his BTC 😃
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1Lun
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@DonkeyKongx He makes a bit of cash with his software business. But that is negligible. However, this is also important for interest payments and creditworthiness in general. But the positive news about the software business gives reason to expect positive things.
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