Bitcoin

Million

April

<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">
 Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noreferrer noopener" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.
</div> 
<p class="has-drop-cap">MicroStrategy’s earnings report for the first quarter of 2023 published on Monday, May 1st, <a href="https://www.microstrategy.com/en/investor-relations/press/microstrategy-announces-first-quarter-2023-financial-results_05-01-2023" target="_blank" aria-label=" (opens in a new tab)" rel="noreferrer noopener nofollow" class="deco-link">revealed</a> that the impairment on its Bitcoin holdings amounted to just $18.9 million. This is a notable decrease from the $197.6 million reported for Q4 and is in line with Bitcoin’s 68% YTD rally.</p> 
<h3 id="microstrategy-s-bitcoin-impairment-down-to-18-9-million-in-q1">MicroStrategy’s Bitcoin Impairment Down to $18.9 Million in Q1</h3> 
<p>In its Q1 earnings report published this Monday, Michael Saylor’s MicroStrategy revealed the impairment loss on its Bitcoin amounted to $18.9 million. The result, significantly better <a href="https://tokenist.com/microstrategy-plans-to-buy-more-bitcoin-despite-197-6m-impairment-in-q4/" rel="dofollow" class="deco-link">than what the company reported for Q4</a> of 2022, is in line with the cryptocurrency’s significant rally which has been relatively steadily continuing since January.</p> 
<p>Together with its Bitcoin-driven performance improvement, the firm also achieved a net income of $461 million—$31.79 per share. Similarly, it also managed to beat its revenue forecast and collected $121 million, instead of the expected $119 million. Despite the results, its stock saw no dramatic movement upon the release of the report and rose about 1.3% in after hours.</p> 
<p>On the other hand, MicroStrategy’s shares have been experiencing a very significant rally since the start of the year. While Bitcoin itself rose nearly 68% since the year started, Michael Saylor’s company rallied even more dramatically and is 112% in the green year to date. Posting on Twitter, Saylor also took the opportunity to highlight how his firm’s performance on the market significantly <a href="https://twitter.com/saylor/status/1653129330451423246" target="_blank" aria-label=" (opens in a new tab)" rel="noreferrer noopener nofollow" class="deco-link">improved since it adopted Bitcoin</a> in 2020.</p> 
<div class="cta-referral"> 
 <img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async"> 
 <div class="cta-referral__text"> 
  <p>Join our&nbsp;<a href="https://t.me/thetokenist" target="_blank" rel="noreferrer noopener nofollow">Telegram group</a>&nbsp;and never miss a breaking digital asset story.</p> 
 </div> 
</div> 
<h3 id="microstrategy-continues-its-bitcoin-strategy">MicroStrategy Continues Its Bitcoin Strategy</h3> 
<p>Considering that Michael Saylor is one of the best-known Bitcoin advocates in the world, it is not surprising that his company has remained committed to the cryptocurrency even during the “crypto winter” of 2022. Just as the company promised after publishing its Q4 report, it <a href="https://tokenist.com/microstrategy-acquired-6455-btc-for-150m-filing/" rel="dofollow" class="deco-link">acquired nearly 6,500 BTC</a> between mid-February and late March.</p> 
<p>The company’s Bitcoin holdings have become so extensive since it began buying in 2020, that by early April <a href="https://tokenist.com/microstrategy-now-holds-1-in-every-150-btc-with-seemingly-no-exit-strategy/" rel="dofollow" class="deco-link">it held one of every 150 BTC in existence</a>. The company also used its first-quarter gains to settle some of its long-standing obligations. In late March, it was reported that the firm repaid its <a href="https://www.microstrategy.com/content/dam/website-assets/collateral/financial-documents/financial-document-archive/form-8-k_3-27-2023.pdf" target="_blank" aria-label="$205 million loan to Silvergate  (opens in a new tab)" rel="noreferrer noopener nofollow" class="deco-link">$205 million loan to Silvergate </a>two years ahead of maturity.</p> 
<p>Unlike many other cryptocurrency-related firms, Silvergate failed to benefit from the digital assets rally that started with the New Year. In early March, the crypto-friendly bank announced it is shutting its doors due to the damage it had sustained in the aftermath of the collapse of FTX. So far, the ongoing bank crisis has claimed 4 lenders with the latest victim—First Republic—<a href="https://tokenist.com/four-us-bank-failures-in-four-months-is-the-wave-over/" rel="dofollow" class="deco-link">falling into receivership earlier today</a>.</p> 
<div class="cta-sub js__cta-sub"> 
 <div class="cta-sub__start" data-step="1"> 
  <div class="cta-sub__title">
   <strong>Finance is changing.</strong>
  </div> 
  <div class="cta-sub__subtitle">
   Learn how, with Five Minute Finance.
  </div> 
  <div class="cta-sub__excerpt">
   A weekly newsletter that covers the big trends in FinTech and Decentralized Finance.
  </div> <button type="button" class="btn">Try it out (for free)</button> 
 </div> 
 <div class="cta-sub__form" data-step="2" style="display: none;"> 
  <script type="text/javascript" src="https://app.getresponse.com/view_webform_v2.js?u=QcLhh&amp;webforms_id=zw3Wv"></script> 
 </div> 
 <div class="cta-sub__result" data-step="3" style="display: none;"> 
  <div class="cta-sub__title">
   Awesome
  </div> 
  <div class="cta-sub__caption">
   You’ve subscribed.
  </div> 
  <div class="cta-sub__greeting">
   You’re well on your way to being in the know.
  </div> 
 </div> 
</div> 
<p><strong><em>Do you think MicroStrategy should continue buying more Bitcoin? Let us know in the comments below.</em></strong></p> 
<p>The post <a rel="nofollow" href="https://tokenist.com/microstrategys-impairment-on-btc-investment-fell-by-178m-in-q1/">MicroStrategy’s Impairment on BTC Investment Fell by $178M in Q1</a> appeared first on <a rel="nofollow" href="https://tokenist.com">Tokenist</a>.</p>

MicroStrategy’s Impairment on BTC Investment Fell by $178M in Q1

Table of Contents

Tokenist

Andre artikler udgivet 1. maj 2023

Bitcoin Price Forecast: Downtrend May Continue! Latest BTC Analysis!

What is Interchain Name Service?

Ethereum Price Analysis: ETH Price slips Below $1,900 as Bears Exert Control

Kevin O’Leary Defends Taylor Swift Over FTX $100M Deal

Decentralized Finance (DeFi): Vanguard of Financial Revolution, Assessing Opportunities, Bottlene...

Regulators Approve Tokenized Real-World Assets in Nigeria

Join our free newsletter for daily crypto updates!