MicroStrategy Executes Major Bitcoin Purchase Following Fed Rate Decision

MicroStrategy acquired 850 Bitcoin for $99.7 million during the week ending Sunday, according to Cointelegraph. The purchase was executed at an average price of $117,344 per coin as Bitcoin reached multi-week highs above $117,000 on Thursday. The acquisition followed the Federal Reserve's decision to cut interest rates by 25 basis points for the first time in 2025.

The latest purchase brings MicroStrategy's total Bitcoin holdings to 639,835 BTC, purchased for approximately $47.3 billion at an average price of $73,971 per coin. The company, which rebranded to "Strategy" in February 2025, maintains its position as the world's largest corporate Bitcoin holder. The timing coincided with Bitcoin's surge following the Fed's monetary policy announcement on Thursday.

MicroStrategy's September Bitcoin acquisitions have totaled 3,330 BTC, representing a decline from the 7,714 BTC purchased in August. This continues a pattern of smaller purchases compared to earlier in 2025, when the company acquired 31,466 BTC in July alone.

Why This Purchase Reflects Strategic Market Positioning

The Federal Reserve's rate cut creates favorable conditions for Bitcoin treasury strategies like MicroStrategy's approach. TheStreet reports that lower interest rates reduce MicroStrategy's debt servicing costs while potentially increasing Bitcoin's appeal as a non-yielding asset. The company has relied extensively on convertible debt instruments to fund its Bitcoin acquisitions since December 2020.

Michael Saylor noted that reduced Bitcoin volatility amid institutional adoption may make the asset "boring for a while" as major institutions enter the market. This stabilization reflects growing corporate acceptance but potentially reduces the adrenaline-driven retail interest that previously characterized Bitcoin trading patterns.

The purchase timing demonstrates MicroStrategy's continued commitment to its Bitcoin-first treasury strategy despite market maturation. We previously covered how regulatory frameworks worldwide are evolving to accommodate Bitcoin adoption, with countries like Switzerland, Singapore, and El Salvador developing balanced approaches that enable corporate treasury integration while managing regulatory compliance.

Corporate Bitcoin Treasury Competition Intensifies Globally

MicroStrategy's latest acquisition occurs as other companies aggressively expand their Bitcoin treasuries. Japanese firm Metaplanet recently acquired 5,419 Bitcoin for $632 million, bringing its total holdings to 25,555 BTC and making it the fifth-largest corporate Bitcoin holder. This positions Metaplanet ahead of Bullish and demonstrates accelerating corporate adoption beyond U.S. markets.

The competitive landscape shows corporations using different funding mechanisms to expand Bitcoin positions. While MicroStrategy relies on convertible debt and equity offerings, Metaplanet completed a $1.4 billion international share sale in September to fund future Bitcoin purchases. Both companies view Bitcoin as protection against currency debasement and inflation.

Federal Reserve monetary policy changes affect the entire corporate Bitcoin treasury sector. Lower borrowing costs enable companies to leverage debt financing for Bitcoin acquisitions more affordably. However, reduced interest rates also decrease opportunity costs for holding non-yielding assets like Bitcoin, potentially attracting institutional capital that previously sought higher bond yields.

The trend extends beyond individual companies to broader institutional acceptance. Corporate treasury departments increasingly view Bitcoin as a legitimate reserve asset class, with accounting standards evolving to accommodate fair value reporting. This institutional maturation reduces Bitcoin's perceived risk profile while maintaining its potential for significant returns, creating conditions that support continued corporate accumulation strategies regardless of short-term price volatility.