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MicroStrategy’s Saylor Highlights 1.5x Bitcoin Returns in MSTR Issuance Plan

Author: Content Editor
MicroStrategy plans to raise $2 billion through the issuance of perpetual preferred stock, which will have seniority over its common stock. The move is part of the company's plan to generate $42 billion through equities and fixed-income securities. The company aims to provide investors with leveraged exposure to Bitcoin, offering returns and volatility at 1.5 times the levels of Bitcoin. Additionally, MicroStrategy is evaluating market conditions to determine the best approach for issuing preferred stock, which may feature convertibility into common shares. The company's CEO, Michael Saylor, discussed potential regulatory shifts and hinted at a possible U.S. strategic Bitcoin reserve. MicroStrategy recently purchased an additional 2,530 BTC, bringing its total holdings to 450,000 BTC. The company's stock, which outperformed Bitcoin in 2021, saw a 4.5% increase and is rated a "buy" with a price target of $650 by Benchmark. Industry experts view corporate Bitcoin acquisition strategies as significant influencers in the cryptocurrency market.

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