MicroStrategy and Strive Buy More Bitcoin, but Shareholders Could Feel the Pain

On Monday, Nov. 2, Strategy, formerly MicroStrategy, bought 811 Bitcoin for $65.5 million, raising its total to 849,327, while rival Strive added 124 Bitcoin for a total of 43,124. Strategy funded its purchase by selling about 1.18 million new MSTR shares to raise $164 million and kept the unused cash; because it issued shares faster than it added Bitcoin, Bitcoin per diluted MSTR share fell about 0.17%. Strive’s diluted share count stayed unchanged, so its Bitcoin per diluted share rose about 0.29%. Strategy also spent $208 million repurchasing STRC preferred stock. Its Bitcoin per diluted share had already fallen 3.7% this year through Oct. 25, and it can sell another $18.6 billion of MSTR shares.