MicroStrategy Pioneers Crypto Treasury Strategy with Record Bitcoin Purchases

Software firm MicroStrategy, now a Bitcoin treasury company, began accumulating the cryptocurrency in 2020. This initiative, initially framed as a strategy to “maximize long-term shareholder value,” has solidified the firm’s position at the forefront of publicly traded companies diversifying their balance sheets with cryptocurrencies.

Strategy’s efforts have unlocked significant value and industry influence as traditional finance and crypto markets converge. The company’s accumulated holdings recently surpassed 607,770 BTC, representing nearly 2.9% of all Bitcoin ever mined and valued at over $71 billion, contributing to its pronounced market impact.

CEO Michael Saylor’s commitment to “buy top forever” strategy has raised MicroStrategy’s weighted average acquisition price significantly. This dedication pushed the average cost for the company nearly six years into Bitcoin ownership to over $71,000 per BTC, substantially above the average price of its initial purchases.

Major Bitcoin Purchase Announcements and Market Reactions

Detailed analysis of MicroStrategy’s seven largest Bitcoin acquisitions reveals the evolution of its treasury strategy and its influence on the cryptocurrency market:

1. Record November Acquisition (55,500 BTC, Nov. 25, 2024)

Average Purchase Price: $97,862
Total Bitcoin Acquired: Amounting to over 4.8% of total Bitcoin mined
Total Value Spent: $5.4 billion

On November 25, 2024, MicroStrategy executed its largest Bitcoin purchase both by number of coins (55,500 BTC) and by dollar value (~$5.4 billion) to date. This transaction significantly increased the company’s stake and extended its average price paid.

Immediately following Saylor’s announcement, Bitcoin experienced a sharp drop of approximately $4,000, or 4.4%, before the price stabilized.

2. Pre-Installment Purchase (51,780 BTC, Nov. 18, 2024)

Average Purchase Price: $88,627
Total Bitcoin Acquired: 51,780 BTC
Total Value Spent: ~$4.6 billion

Just one week before its record purchase, MicroStrategy bolstered its holdings by acquiring another large quantity, 51,780 BTC. The announcement triggered short-term price pressure, though Bitcoin recovered, touching $92,653—the same day before last’s all-time high price.

The subsequent Bitcoin high closed at $94,000+, cementing the $71k+ buying floor among the company’s accumulating assets.

3. Early 2021 Acquisition (29,646 BTC, Dec. 21, 2020)

Average Purchase Price: $21,925
Total Bitcoin Acquired: 29,646 BTC
Total Value Spent: $650 million

During Bitcoin’s bull run of late 2020, MicroStrategy declared its fourth Bitcoin purchase, acquiring 29,645 BTC worth roughly $650 million. At the time, this was its largest single acquisition.

Coinciding with the bull market peak, Bitcoin exhibited little volatility around this news. The price held firm just below $24k after the announcement, exemplifying the crypto market conditions of the period.

4. Post-Election Purchase (27,200 BTC, Nov. 11, 2024)

Average Purchase Price: $74,463
Total Bitcoin Acquired: 27,200 BTC
Total Value Spent: $2.03 billion

Following Trump’s record vote count after the 2024 election, MicroStrategy purchased 27,200 BTC during a volatile price period ($72k-$80k). This purchase contributed to the record-breaking November Bitcoin moves.

Despite initial buyer confidence (looking at $88k+ for the day), market interpretation skewered the price downward ~10% briefly, though it held above the purchase floor for the closing price.

5. Anniversary Purchase Amidst Political Tensions (22,048 BTC, March 31, 2025)

Average Purchase Price: $89,969
Total Bitcoin Acquired: 22,048 BTC
Total Value Spent: ~$2 billion

On March 31, 2025, MicroStrategy continued its buying streak, acquiring nearly $2 billion worth of Bitcoin, its fifth-largest acquisition dollar-wise. This came during heightened political uncertainty.

The purchase caused the company’s stock price to dip temporarily. Concurrently, Bitcoin itself experienced a downtrend later that month, ending the quarter significantly below the acquisition price.

6. Near-Term High Purchase (21,550 BTC, Dec. 9, 2024)

Average Purchase Price: $98,783
Total Bitcoin Acquired: Approximately 21,550 BTC
Total Value Spent: $2.1 billion

This acquisition connected MicroStrategy’s average value to the recently tested Bitcoin all-time high. However, the market sentiment did not register unequivocally positive; Bitcoin declined >2.5% in the hours following the announcement.

The firm’s average acquisition price continued to trend upward, nearing record territory for a new Bitcoin bull run’s intermediate phase.

7. Origin Story Purchase (21,454 BTC, Aug. 11, 2020)

Average Purchase Price: $11,652
Total Bitcoin Acquired: 21,454 BTC
Total Value Spent: $250 million

Strategy’s first substantial Bitcoin purchase offered a valuation floor that has since become the benchmark. Championed by Saylor amidst the COVID-19 macroeconomic unease, this 21,454 BTC investment fundamentally launched the company’s crypto treasury.

At the time, Bitcoin’s price barely reacted to the landmark announcement. However, the fiat backing Strategy sought via crypto has preserved significant value, underpinning its $71B market milestone years later.