MicroStrategy to Raise $2B to Buy More Bitcoin as Part of 21/21 Plan

Key Points

MicroStrategy’s announcement comes following Michael Saylor’s meeting with Eric Trump.
Yesterday, BTC neared $99,000, as BTC ETFs recorded significant inflows led by Fidelity’s FBTC.

Yesterday, Bitcoin recorded a significant price surge, nearing $99,000 fueled by new inflows in BTC ETFs and optimistic announcements. January 3rd marked BTC’s 16th anniversary as well, leading to celebrations in the industry.

MicroStrategy Announced Plans to Buy More BTC

On Bitcoin’s birthday, MicroStrategy revealed a bullish announcement: the company plans to raise more money to buy BTC. It announced a capital raise of up to $2 billion of preferred stock in a press release dated January 3.

The announcement is related to the company’s previously announced 21/21 Plan, a capital to raise $21 billion of equity and $21 billion of fixed-income instruments including debt, convertible notes, and preferred stock over the next three years.

The official notes reveal that the perpetual preferred stock may include features such as:

Convertibility to the class A common stock
Payment of cash dividends
Provisions allowing for the redemption of shares

The announcement states that the purpose of this offering is to allow MicroStrategy to continue to strengthen its balance sheet and acquire more Bitcoin.

Michael Saylor’s Meeting With Eric Trump

This important announcement from MicroStrategy came after Michael Saylor met with Donald Trump’s son, Eric Trump at Mar-a-Lago. Trump’s son marked the event via X, sharing a photo he captioned with the following words: “Two friends, one passion: Bitcoin”.

Saylor also shared the photo via his X account, noting that “Bitcoin is on the menu at Mar-a-Lago.”

These bullish events and announcements came on Bitcoin’s 16th anniversary which marked the Bitcoin Genesis Day – on January 3rd, 2009, Satoshi Nakamoto mined the first Bitcoin Block, making history and offering the world an alternative to oppression.

Yesterday, BTC recorded a price surge, nearing $99,000, fueled by optimism and renewed inflows in BTC ETFs.

Bitcoin ETFs Recorded Over $908 Million in Inflows

Folowing a significant streak of outflows, Bitcoin ETFs recorded a notable inflow day on January 3rd.

The crypto products saw more than $908 million in inflows yesterday, led by Fidelity’s BTC ETF, FBTC, at almost $357 million.

BlackRock’s IBIT was next with over $222 million in inflows, following the crypto product’s biggest outflow day on January 2nd at over $332 million. This was IBIT’s most significant outflow day since its inception, as data from SoSoValue shows.