MicroStrategy is taking steps to manage $1.05 billion in corporate debt linked to its aggressive Bitcoin acquisition strategy. Under CEO Michael Saylor, the company has amassed a portfolio of 461,000 Bitcoin, valued at nearly $49 billion. It continues to acquire Bitcoin, having added 11,000 BTC recently for approximately $1.1 billion. This debt consists of convertible notes aimed at funding their Bitcoin purchases. On February 24, the company plans to redeem these notes, providing holders with their principal amount but allowing them to convert into shares until February 20. The company aims to reduce its leverage while extending repayment risks to September 2028. MicroStrategy's recent measures come amid a persistent push to strengthen its position as the largest corporate Bitcoin holder, exemplified by its shareholders approving a significant increase in authorized common shares for more financing opportunities. As it adapts its strategy, the company effectively aims to balance its debt obligations against its cryptocurrency investments.

Source đź”—