Strategy (previously MicroStrategy) announced its first profit in six quarters, buoyed by a notable surge in cryptocurrency values during the latest quarter that saw the market’s largest cryptocurrencies,, including Bitcoin (BTC), recover from previous price corrections.
This marked a stark contrast to the previous year, when the company co-founded by Bitcoin bull Michael Saylor, faced a loss of $102.6 million, or 57 cents per share.
For the three months ending June 30, Strategy posted a net profit of $9.97 billion, or $32.60 per share as the company has increasingly ramped up its acquisition efforts through new initiatives this year.
Strategy began its Bitcoin accumulation in 2020, initially using cash and later financing its purchases through low-cost convertible bonds and stock sales.
The company’s stock, MSTR, has surged nearly 39% this year, outpacing Bitcoin’s own 25% increase. This momentum has inspired other public companies to adopt similar strategies, emulating the buy-and-hold treasury approach championed by Strategy’s co-founder Michael Saylor.
On a recent post-earnings call by the company, Saylor remarked that the digital asset industry is entering a “hyper-growth, hyper-adoption phase” for Bitcoin as a treasury reserve asset.
Strategy’s stock, which saw a nearly fivefold increase last year, even earned it a place in the Nasdaq 100 index in December.
When writing, the market’s leading crypto trades at $115,780, meaning a 6% gap between current prices and its record high.
Featured image from DALL-E, chart from TradingView.com
