Michael Saylor Conjures Stock Market Magic With Giant Plan to Buy More Bitcoin

In Michael Saylor's world, economics appear to be upside down. He's turned MicroStrategy, originally a relatively unknown software business into corporate America's largest bitcoin (BTC) bull, amassing a gigantic stockpile of the cryptocurrency.

MicroStrategy (NASDAQ:MSTR) announced late Wednesday that it has filed with the U.S. Securities and Exchange Commission to offer and sell up to $21 billion of its class A common stock from time to time.

The company said it intends to use the net proceeds from the sale of the shares for general corporate purposes, including the acquisition of bitcoin.

Following the announcement, several analysts and crypto observers commented on the development.

Here's what they had to say.

On MicroStrategy's Stock Price PerformanceAfter More Equity Sales

"MicroStrategy's stock price has risen despite the company announcing more equity sales, which is a testament to investor confidence in the firm's accretive dilution strategy for bitcoin."

"Wherein MicroStrategy leverages capital markets to buy bitcoin, diluting shares by issuing more, but accreting shareholder value via its bitcoin purchases."

- Joe Consorti, head of growth at Theya Technologies

"Typically, when shareholders get diluted, this is a bad thing. However, as a MicroStrategy shareholder, I celebrate being diluted as I know MicroStrategy are going out and buying bitcoin, which increases the bitcoin per share as a company, which is accretive for shareholder value."

- James Van Straten, senior analyst at CoinDesk

On MicroStrategy's At-the-Market Equity Offering

"The stock sale is what's known as an at-the-market equity offering — a type of deal that lets companies sell shares directly at prevailing prices, often providing a more flexible and less onerous way to raise capital compared with a conventional secondary offering."

"It's, in fact, the largest such offering ever — by a factor of four, according to data compiled by Bloomberg."

- Helene Braun, CoinDesk reporter covering Wall Street, crypto exchanges and the rise of the spot bitcoin ETFs. She also co-hosts CoinDesk's Markets Daily show.

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