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MicroStrategy Moves Billions in BTC to Fidelity
29 Nov
Summary
- MicroStrategy moved $5 billion in Bitcoin to Fidelity Custody.
- The company faces short seller interest and index delisting threats.
- Despite challenges, it holds over $58 billion in Bitcoin.
MicroStrategy, recently rebranded as Strategy, has undertaken a significant diversification of its Bitcoin custody, moving approximately $5 billion in BTC to Fidelity Custody over the last two months. This strategic shift involves transferring 58,390 BTC from its long-time custodian, Coinbase. The move comes amidst a challenging period for the cryptocurrency market, impacting Strategy's position.
The software company, led by Michael Saylor, has amassed a substantial Bitcoin treasury, currently holding 649,870 BTC valued at over $58 billion. However, it faces increasing pressure from Wall Street. Legendary short-seller Jim Chanos has confirmed he is shorting MicroStrategy positions, adding to the company's financial headwinds.
Further complicating matters, JPMorgan has issued a warning that leading equity indices, including the MSCI USA Index, might delist Strategy due to its unique crypto treasury model. Despite these concerns, Saylor remains steadfast, emphasizing that the company's operational model is unaffected by potential index changes.
