Square held another round of investment in Bitcoin. In its latest income statement for the fourth quarter of 2020, the company spoke about the purchase of approximately 3318 BTC with a total cost of 170 million dollars. This addition to 4709 Bitcoins, which Square has already managed to purchase in October last year for 50 million dollars. Together, Square has spent about 5 percent of its free funds as of December 31, 2020 at the other two stages of investments. And she did not become the only giant that the cryptocurrency reserves was replenished on the eve.
The issue of investments of large companies in Bitcoin became relevant on the background of sending the Cryptovaya Course. Recall, on Sunday, BTC has set the next course record of $ 58,640, after which it began to adjust - that is, decrease. From Monday, the cost of coins including up to 45 thousand dollars, which also affected the entire market.
For clarity, we give the Bitcoin course schedule for the last week. The moment of the collapse in the image is noticeable - equally as a rebound of value.
Graph Bitcoin Course per weekNote that not all investors began to panic and get rid of their asset in a hurry. For example, MicroStrategy decided to buy bitcoins at a reduced price to get a big profit after the recovery of cryptocurrencies. As it became known yesterday, the giant bought another BTC portion by $ 1.02 billion. According to the head of Michael Sailor, they purchased 19,452 BTC at the average rate of $ 52,765, with the result that the total number of bitcoins at the disposal of the company reached the mark of 90,531 coins.
The market reacts to microstrategy solutions. Good. Here is the schedule of the company's shares per year. If until August 2020 - when the company invested in BTC and told about it - they were estimated at 110-120 dollars, now the cost is 817 dollars. And this is already after reaching a local peak at $ 1272 of the ninth of February 2021.
Who buys bitcoins?
Square believes that the cryptocurrency "is an instrument of expanding economic opportunities, providing people with the opportunity to participate in the global monetary system and ensure their own financial future." Here is another quote from the report of the company that Decrypt leads.
That is, the company's management perceives cryptocurrency on equal to other assets in which they invest. Accordingly, they do not consider blockchain-coins too risky, and volatility - or sharp changes in the value of the crypt - something bad.
And this is a new approach that comes against the criticism of Bitcoin and other similar assets. For example, only yesterday we learned about the comments of Bill Gates to cryptocurrency. He used its popularity to warn cryptocurrency investors and once again express doubts about the future of BTC.
The company also reported an income of 4.57 billion dollars from his own CASH APP application for 2020, which is nine times more than the same indicator for 2019. 1.76 billion dollars from this revenue fell on only the fourth quarter, which is 1000 percent more than in the fourth quarter of 2019. Explain the growth is simple: for the aforementioned periods of time, the price of the BTC rose from $ 10,500 to 28,600 dollars.
According to Square, income growth was caused by a great influx of new cryptine investors. Here is a quotation of a company representative.
That is, analysts mark the growth of interest in cryptocurrencies by the platform users. Taking into account this behavior of the course there is nothing surprising.
We believe that the actions of large companies are positive for the cryptocurrency market. Now Bitcoin asked in price and caused panic among many investors. However, despite the collapse, MicroStrategy representatives already mentioned not only did not get rid of the asset, but also increased its volumes at their disposal. So when Niche goes up again, they will get the maximum possible profit.
Obviously, such actions of giants should not only calm down, but also act as an example. Still go against the crowd and buy when the rest sell is difficult. However, that is why, bold investors receive a reward for such actions.
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