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Could MicroStrategy's Bitcoin Stash Make It The Richest Company In The World?

Published 28/04/2023, 14:49
© Reuters.  Could MicroStrategy's Bitcoin Stash Make It The Richest Company In The World?
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Benzinga - MicroStrategy Inc (NASDAQ: MSTR) is in a unique position to benefit from the increasing price of Bitcoin (CRYPTO: BTC), according to a report by Berenberg.

The business analytics software company, founded by Michael Saylor, currently holds around 140,000 Bitcoin as a balance sheet treasury asset, making it the largest corporate holder of Bitcoin.

Berenberg initiated coverage of the stock with a buy rating and a $430 price target, suggesting that MicroStrategy shares offer an attractive way for investors to gain exposure to Bitcoin and navigate the digital asset space amidst an ongoing regulatory crackdown.

Also Read: FTX Fallout: Bahamas Goes All-In On Crypto Legislation, Aims To Be The World's Most Advanced

"Bitcoin has emerged as a safe haven relative to other crypto tokens," the report noted, and if investors increasingly turn to Bitcoin as an alternative currency amidst macro-related fears, then MicroStrategy shares stand poised to benefit.

Additionally, the upcoming fourth Bitcoin halving in May 2024 may serve as a positive catalyst for the Bitcoin price and by extension, for MicroStrategy shares.

MicroStrategy is due to report its first-quarter earnings after the market close on May 1.

MSTR Price Action: MicroStrategy shares are down 2.65% at $310.19 Friday morning.

Read Next: The Battle For Crypto Market Regulations Heats Up In Congress

Photo: Shutterstock

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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