The Defiance Daily Target 1.75X Long MSTR ETF (MSTX), which tracks MicroStrategy Inc (NASDAQ:MSTR) shares, experienced a 24-hour plunge of 5.24% on Wednesday, reflecting concerns over the company's heavy reliance on Bitcoin and the potential risks associated with its ambitious capital raising plans.
MicroStrategy, known for its aggressive Bitcoin acquisition strategy, reported holding 252,220 Bitcoins valued at $18 billion as part of its "Bitcoin Treasury" strategy. While the company successfully raised $1.1 billion through an equity offering and $1.01 billion through convertible notes to fund further Bitcoin acquisitions, concerns have been raised about the potential dilution of existing shareholders due to the ambitious $42 billion capital raising plan over the next three years.
Furthermore, MicroStrategy's heavy exposure to Bitcoin exposes the company to significant market risk and volatility, which could impact its financial stability. This concern has been exacerbated by the recent decline in the company's software business revenue and the ongoing transition from on-premise to cloud-based solutions, raising questions about the performance of its core business.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。