The experts analyzed MicroStrategy’s premium assessment

MicroStrategy (MSTR) shares are trading at a 256% premium to the value of its bitcoin reserves. This is explained by the popularity of the company as a tool for indirect investment in BTC, especially against the background of restrictions in some regions on the purchase of Bitcoin-ETFs. This is how researchers from BitMEX explained the situation. They noted that the market capitalization of the organization exceeds $100 billion, and the share price continues to grow, fueling investor interest. MicroStrategy is actively using a strategy aimed at increasing BTC reserves through the issuance of securities. It is estimated that if the current premium continues, the company could issue 157 million new shares, raise $157 billion, and increase the number of bitcoins to 1.9 million. This would raise the price of the securities to $1685 and the market capitalization to $674 billion.

However, an even more realistic scenario with a current share price of $525 would involve issuing 146 million securities. As a result, MicroStrategy could raise $173 billion, increasing its bitcoin

reserves

to 2.1 million and market capitalization to $813 billion.

These numbers show how an issuance model could transform the company’s business, increasing bitcoin reserves and attracting new investors. However, the key risk remains the reliance on premium valuation. If it declines, the organization faces difficulty raising capital and a potential drop in share price. For MicroStrategy, this strategy works for the long term, increasing the company’s exposure to the cryptocurrency market. However, success will depend on continued interest in bitcoin and the ability to manage high investor expectations. They must take into account possible fluctuations in both the bitcoin price and premium, as this could dramatically change the financial dynamics of the institution. MicroStrategy remains an important indicator of the integration of cryptocurrency into the traditional economy.