Also I'm not sure what this is about Microstrategy buying on leverage, were some of their previous buys on leverage? They just did a stock sale so the upcoming buy is all new money they have now and won't be on leverage.
What they actually did was issue
debt notes, which cost interest to service, and which will be convertible to cash or Class A shares.
They borrowed cash to go long on leverage. This is exactly what margin traders do.
Oh interesting I didn't realize that.
I'm not worried for the company's risk though haha, they're already up like $300 million on their previous purchases. But good to know!