MicroStrategy Controls 3% of Bitcoin as Corporate Accumulation Hits New Highs

TLDR:

• MicroStrategy now owns over 700,000 BTC, equaling more than 3% of total supply.
• Average cost basis of $71,000 per BTC, current value shows $13B unrealized gain.
• US custody wallets added 577,000 BTC in the past year, worth $53B.
• Corporate and institutional accumulation intensifies competition for available Bitcoin supply.

Bitcoin corporate accumulation continues to reshape the market as major companies secure significant positions. MicroStrategy (MSTR) has emerged as a leading corporate holder, now owning over 3% of the total Bitcoin supply.

Since late 2020, MicroStrategy CEO Michael Saylor has executed 95 separate purchases, bringing the company’s holdings to 709,715 BTC.

With an average cost basis around $71,000 per coin, the current market price of $89,000 reflects a $13 billion unrealized gain.

MicroStrategy’s Growing Bitcoin Position

MicroStrategy’s persistent accumulation strategy demonstrates the challenge for new corporate entrants seeking meaningful Bitcoin exposure.

In January alone, the company added 22,305 BTC, though there have been no confirmed purchases since January 20.

Observers note Saylor’s recent chart postings may signal renewed activity, following a consistent historical pattern.

Corporate adoption of Bitcoin is no longer in its early stages, as one company now holds a substantial portion of the fixed supply.

The scale of MicroStrategy’s holdings emphasizes the competitive environment for other companies considering a Bitcoin treasury.

Every major organization now evaluating Bitcoin must contend with the market presence of an entity that has been actively purchasing for four years.

The concentration of Bitcoin in corporate balance sheets has altered market dynamics, making accumulation increasingly difficult for latecomers.

Such accumulation also highlights the effects of fixed supply on market access. With 21 million total Bitcoins, controlling more than 700,000 represents a significant share that could influence liquidity and market behavior.

This situation draws attention to the strategic planning required for companies entering Bitcoin, especially given high volatility and demand.

MicroStrategy’s position also illustrates the long-term commitment some corporations are making toward digital assets. Holding a substantial portion without selling reflects a strategy focused on preservation and gradual exposure to market trends. This approach has set a benchmark for other institutional actors in the crypto space.

Institutional Demand for Bitcoin Custody

Institutional demand for Bitcoin continues beyond corporate purchases. According to CryptoQuant CEO, U.S. custody wallets added 577,000 BTC over the past year, valued at roughly $53 billion. This reflects a growing interest from financial institutions seeking secure storage solutions and direct market exposure.

The increase in custody wallet holdings signals a broader acceptance of Bitcoin as an asset class. Institutions are now engaging with digital assets at scales previously reserved for major corporations. Custody solutions provide transparency and regulatory compliance, fostering confidence in large-scale holdings.

Market observers note that institutional accumulation often coincides with corporate strategies, as firms manage treasury allocations alongside investment funds.

The synergy between custody wallets and corporate portfolios suggests a maturing ecosystem, where significant Bitcoin reserves are held responsibly.

Demand from both corporations and institutions is reshaping Bitcoin market dynamics. As more entities secure positions, competition for available supply intensifies, influencing pricing and trading patterns.

The trend demonstrates the increasing integration of Bitcoin into traditional financial structures.

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Source: https://blockonomi.com/microstrategy-controls-3-of-bitcoin-as-corporate-accumulation-hits-new-highs/