MicroStrategy Delays Weekly Bitcoin Purchases as Earnings Approach

MicroStrategy Stops Bitcoin Purchases Before Earnings Release

MicroStrategy, the fourth-largest Bitcoin (BTC) holder among corporations, halted its Bitcoin acquisitions last week, bringing an end to a 12-week streak of continuous purchases. Executive Chairman Michael Saylor made the announcement on X.

Since November 11, the company has accumulated 218,887 BTC, increasing its total holdings to 471,107 BTC. While Saylor did not clarify the exact reason for the pause, James Van Straten, a senior analyst at CoinDesk, suggests it is likely related to the company’s upcoming earnings report, which will be released after market close on February 5.

Companies typically enter a “blackout period” before earnings announcements, where insiders with access to confidential financial data are prohibited from making any transactions involving the company’s securities. Given MicroStrategy’s large Bitcoin holdings, this restriction could also apply to cryptocurrency purchases.

In addition to the pause in Bitcoin purchases, MicroStrategy recently announced a $250 million preferred share offering, aimed at raising funds to acquire more Bitcoin. Just days later, the company increased the offering to $500 million, raising this amount by selling around 7.3 million shares of the series.