MICROSTRATEGY PLANS TO RAISE $2B FOR BITCOIN PURCHASES, UPSIZING FROM $500M: BBG
Strategy has just announced a quadruple increase in its capital raise from $500 million to $2 billion.
They are scaling up their efforts, as the game is becoming increasingly crowded, and MSTR must stay ahead of the pack in terms of generating BTC for their shareholders.
Micro Strategy's Bitcoin purchase is good news for general investors, but also a cause for panic because-
Micro Strategy's sole dominance in Bitcoin worries me a lot. We all know more or less how much Bitcoin Micro Strategy is reserving alone, so if they need to sell Bitcoin at some point, when they sell it, its impact on the Bitcoin market will be like this.
Although it is unknown how they will sell at night, it is conceivable that if they start selling Bitcoin, there will be two types of effects on the market.
1. Buyers will panic and lose confidence in Bitcoin.
2. The supply of Bitcoin in the market will increase as a result of selling Bitcoin.
The number of investors will decrease due to panic and loss of confidence in Bitcoin, and since the supply of Bitcoin in the market is high, we will see a massive crash in the price of Bitcoin as a result.
So I think if there were one or two more companies to compete with MicroEstategy, the risks mentioned above would have been reduced to a large extent.
So we, the general investors, always want more Bitcoin holding companies like MicroEstategy in the market.
Always good luck for Bitcoin "Long live Bitcoin"