MicroStrategy announced plans to manage its $1.05 billion corporate debt tied to Bitcoin acquisitions. Under the leadership of Michael Saylor, the company holds approximately 461,000 Bitcoin valued at nearly $49 billion, making it the largest corporate holder of Bitcoin. The company has utilized convertible notes to buy Bitcoin, which can be converted into shares later, thereby allowing MicroStrategy to leverage borrowed funds to finance its Bitcoin purchases. Recently, the firm redeemed its notes due in 2027, repaying $1.05 billion by February 24, 2025, while enabling bondholders to convert their debt into shares before the redemption date. This strategy significantly reduces MicroStrategy's leverage and defers repayment risks to 2028. Despite a substantial amount of debt from previous purchases, experts believe the company’s strategy is aimed at maintaining liquidity and supporting further Bitcoin acquisitions.

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