Michael Saylor, a proponent of bitcoin, said last month that he was resigning as CEO of MicroStrategy (NASDAQ:MSTR).
Many people have speculated about if this is related to bitcoin declining 70% from its record high. After all, Michael Saylor has been instrumental in the business’s ongoing acquisition of nearly 129,699 bitcoins. The current accounting loss, which has been the subject of the rumors, is over $1 billion, with an average purchase price of slightly over $30,000.
Although Saylor may have left as CEO, he concurrently assumed the role of Chairman of the Board of Directors, and it appears that the company’s administration has no plans to change its approach to bitcoins.
Needs more #Bitcoin.
— Michael Saylor⚡️ (@saylor) September 10, 2022
According to paperwork submitted to the Securities and Exchange Commission (SEC), MicroStrategy plans to issue Class A common stock with a $500 million market value. Then, at least a portion of this sum will go toward buying fresh bitcoins:
“We intend to use the net proceeds from this offering for general corporate purposes, including acquiring bitcoins.
Our bitcoin acquisition strategy involves acquiring bitcoins with cash in excess of working capital requirements. From time to time, depending on market conditions, we will issue bonds or stocks, or engage in other fundraising transactions, with the intent of using the proceeds of such transactions to purchase bitcoin.”