MicroStrategy is taking measures to manage $1.05 billion in corporate debt, which is tied to its substantial Bitcoin purchases. Under the leadership of co-founder Michael Saylor, the company has accumulated 461,000 Bitcoin, valued at nearly $49 billion. In an effort to fund more acquisitions, MicroStrategy issued convertible notes, allowing the company to leverage borrowed capital for Bitcoin purchases. The company recently announced plans to redeem its 2027 notes, opting to pay holders 100% of their principal and promoting a reduction of leverage. While MicroStrategy maintains significant debt, experts suggest it could face risks if forced to liquidate Bitcoin holdings to meet obligations. The firm has seen considerable stock price growth, following a strategy to raise capital by increasing its authorized shares. The company currently has over $7 billion in convertible note debt, entirely invested into BTC acquisitions, reinforcing its commitment toward cryptocurrency amid ongoing efforts to increase investment capability and reduce repayment risks.

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