Another Whale Enters Into Bitcoin (and Another Announces the Biggest Investment in History)

By jbrendon21 | Crypto Currency: An Outsider's Perspective: Part 1 | 25 Feb 2021

As I wrote in my previous post, two major companies (Tesla and Square) have recently made purchases of large quantities of Bitcoin. In today's news, a company known as MicroStrategy (a publicly-traded business intelligence company) purchased an 19,452 Bitcoins for a total of 1 Billion USD (Source). As of today (February 24th, 2021) MicroStrategy holds approximately 90,000 bitcoins.

In other news, a Dubai private equity firm known as IBC Group announced that they wish to spend approximately 4.8 Billion USD to purchase 100,000 Bitcoin (Source 1, Source 2). This would be the largest single purchase of Bitcoin in history. It is uncertain when or if this transaction will actually occur.

This brings me to another point, a potential shortage of Bitcoin. Of course, Bitcoin mining will eventually cease when it reaches the maximum limit. This guarantees some level of scarcity at this point. However, with all of these large purchases from institutional investors may cause a shortage in the near term. What does this mean for the price of Bitcoin? It is tough to say. With all of these so called 'whales' jumping on the Bitcoin train, there are bound to be some major changes to the Bitcoin ecosystem.

Thank you for reading, please let me know if you enjoyed it.

Resources

Bitcoin (BTC) Crypto Crypto News Life BTC

How do you rate this article?

jbrendon21

A newcomer to the crypto market, excited to learn about the many different types of cryptos and what needs they fulfill.

Crypto Currency: An Outsider's Perspective: Part 1

Hello everyone, my name is jbrendon21 and this is my first blog for Publish0x! Within the last few months, I have began the exciting and often overwhelming journey into the realm of Crypto. Prior to Crypto, I was (and still am) invested into the stock market, particularly penny stocks. During the beginning of my venture into stocks, there was quite a learning curve. Reading the financials, filings through the SEC, tracking the charts for patterns, and being in tune with social media groups.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.