Someone borrows more than 200 million euros to buy Bitcoins
Have faith in Bitcoin, someone has it. He borrows a good 200 million to buy even more Bitcoins!
And we’re not just talking about anybody, we’re talking about Michael Saylor. He is the CEO of Microstrategy and is already well into the slack. The best man is already a billionaire. What are you doing then? Borrow money to make even more money. Logical.
200 million euros to buy Bitcoins
The data analytics firm led by billionaire cryptocurrency bull Michael Saylor announced Tuesday that one of its subsidiaries has taken out a $205 million loan. This is to buy more Bitcoin and use the cryptocurrency as collateral.
In a filing, MicroStrategy announced that its wholly-owned subsidiary, MacroStrategy, has entered into an agreement. This agreement is with crypto-focused lender Silvergate Bank to take out a $204.7 million loan.
How to close
Handy if you already have some money, otherwise you won’t get such a loan. The three-year loan is in fact backed by approximately $820 million in Bitcoin. Which amounts to approximately 12% of MicroStrategy’s total cryptocurrency holdings. In a statement, Saylor said the loan gives MicroStrategy an opportunity to “strengthen its position.”
The company, which started buying cryptocurrency for its balance sheet in August 2020, says it now holds about 125,051 Bitcoins. Bought for nearly $3.8 billion. The company expects the digital currency to rise further. Incidentally, they are often right. Last year, the toko made almost 75 million euros in profit.
