In the race for spot approval for the Bitcoin ETF before the next deadline of January 10, 2023, Michael Saylor, founder and chairman of MicroStrategy, is selling around $216 million worth of $MSTR shares, which is a could be a strategic move to accumulate more Bitcoin (BTC).
Also read: Crypto transactions over $10,000 will be subject to stricter IRS scrutiny under new US regulations
Michael Saylor buys more BTC
According to a Form 144 filed with the U.S. Securities and Exchange Commission on January 2, 2024, announcing the proposed sale of the shares, Saylor is selling up to 315,000 shares of MicroStrategy stock. This decision comes against the background of the high price gains of Microstrategy (MSTR) shares in recent weeks. Over the past month, MSTR stock rose as much as 21.65%, compared to the 13.30% increase in Bitcoin (BTC) price over the same period.
During a recent interaction, Michael Saylor said that he was granted a stock option for 400,000 $MSTR shares in 2014. He said the stock option would expire in April 2024 if he did not exercise it by then. Therefore, exercising this option would allow him to personally purchase more Bitcoin, he explained.
MicroStrategy stance following Bitcoin ETF approval
Considering that MicroStrategy currently holds the top spot as the largest institutional BTC holder, it remains to be seen how it would compete with its peers in the spot Bitcoin ETF space, with the likes of Blackrock, Fidelity and Grayscale vying to be the first of such Spot ETF authorized in the United States. As of the last week of December 2023, the company holds up to 189,150 BTC, which were purchased in multiple phases over the past few years for a total of $5.9 billion.
If approved, the companies issuing Bitcoin ETFs will likely manage far more than what MicroStrategy holds. Does this mean any impact on crypto stocks and specifically MicroStrategy (MSTR) price since the company's investment strategy relies heavily on Bitcoin accumulation?
Also read: Bitcoin ETF: How will BlackRock balance fees with market dominance?
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