MicroStrategy CFO will continue to purchase Bitcoin despite recent downturns
In an interview with The Wall Street Journal, MicroStrategy will continue to purchase Bitcoin this year, said Chief Financial Officer (CFO) Phong Le.
MicroStrategy will continue to purchase Bitcoin this year
Le said it’s unclear if the company will buy more Bitcoin than it did last year, but it will continue to buy. As of December 29, 2021, the company held approximately 124,391 BTC, according to its filing with the Securities and Exchange Commission (SEC).
Meanwhile, the SEC also wants MicroStrategy to amend how it discloses bitcoin holdings in future filings. The securities watchdog sent a letter to the company asking it to reflect bitcoin volatility in its filings better than accounting methods to adjust for losses due to the Bitcoin value’s decline.
Le wrote a letter last September claiming that impairment losses could hurt the company’s overall results. However, MicroStrategy has since agreed to revise its disclosures, and Le told the Wall Street Journal that he understands the SEC’s position.
Bitcoin hit a low not seen since July this week, although it has risen to over $36,000 at press time.
MicroStrategy will announce its fourth-quarter earnings on February 1. Le said the company has no plans to sell its shares and that MicroStrategy is “constantly” looking at other ways to use bitcoin to add value to shareholders. The company is looking at buying Bitcoin-backed bonds over the next few years. However, that will depend on the market becoming more liquid.
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