MicroStrategy Inc., the largest corporate Bitcoin buyer and one of the most dominant stocks on the public trading exchanges, said it was going to perform a 10-to-1 stock stock split, a move designed to make the stock more widely held by shareholders and employees. The company’s shares have skyrocketed about 1,000% since MicroStrategy first invested in Bitcoin in 2020, going far beyond the price of Bitcoin itself, which rose around 500% over the same period. MicroStrategy shares were trading recently at $1,406, up 7.7%.
Chairman and Co-founder Michael Saylor, who made his fortune at Dulles, Virginia-based business intelligence firm MicroStrategy, set out to make MicroStrategy a Bitcoin company, declaring his rationale for the investment to be leverage against inflation and an alternative to cash-equivalent reserves. He has bought 226,331 Bitcoins for an average price of $37,000, giving MicroStrategy a position of approximately 100,000 Bitcoins held on its balance sheet, currently valued at $13.3 billion. Bitcoin’s price also rose, to $58,468 after a 1.9 per cent rise In an ongoing trend, the beancounters at MicroStrategy have announced that, effective 2 August, they will split their shares into five of their previous self, to be distributed to their record holders. They last split in 2002.
Source: Yahoo! Finance
