A modified 8-K form filed with the United States Securities and Exchange Commission revealed MicroStrategy’s decision to dispense with cash bonuses and instead use the leading cryptocurrency Bitcoin to compensate those on the company’s board. The filing states, “Going forward, non-employee directors will receive all fees for their service on the Company’s Board in bitcoin instead of cash.” Bitcoin has gained a lot of mainstream exposure this year amid its massive winning rally.
MicroStrategy acquired over $4 billion worth of bitcoins.
MicroStrategy has dollar-cost averaged into Bitcoin since the end of 2020, buying small amounts here and there until it eventually accumulated a war chest of over $4 billion worth of bitcoins. The form filed with the SEC stated MicroStrategy’s belief that Bitcoin could function as a reliable store of value and commended its open-source nature, which means it isn’t beholden to anyone’s corporate entity. “In approving bitcoin as a form of compensation for Board service, the Board cited its commitment to bitcoin given its ability to serve as a store of value, supported by a robust and public open-source architecture, untethered to sovereign monetary policy,” 8-K form states.”
Bitcoin continues to trade above $60,000.
The price of the leading cryptocurrency reached an all-time high once again over the weekend when it crossed above $61,000. Bitcoin has continued to witness a massive winning rally this year. The major reason attributed to the increased interest from major institutions. As reported earlier, MicroStrategy bought just over $1 billion worth of additional bitcoin just days after finalizing another sale of convertible debt earlier this year. The firm revealed its first bitcoin purchase back in August, using existing cash on its balance sheet to acquire the cryptocurrency.