Experts evaluated the profitability of companies’ investments in bitcoin


As of July, only two public companies of the top 10 bitcoin holders ended up with unrealized profits, according to CoinGecko.

Data: CoinGecko.

Service experts calculated that at the end of the month, Michael Saylor’s MicroStrategy owned 152,333 BTC. The return on investment in cryptocurrency was 11.07%, which is equivalent to $456.7 million in profit.

The other companies in the top 10 had unrealized returns on their bitcoin investments ranging from 9.79% (Block) to 106.3% (Marathon Digital Holdings).

Only NEXON and Tesla suffered a “paper” loss with indicators of -48.32% and -5.97%, respectively.

Mining companies like Hut 8 Mining, Riot Platforms, Hive Blockchain and Marathon have the highest profitability figures, since by the nature of their activity the entry price of bitcoin is practically zero. The methodology does not take into account costs such as labor, equipment, and electricity that go into mining cryptocurrencies.

Four of the seven companies remaining in the ranking since 2021 have increased their bitcoin holdings. MicroStrategy acquired the largest amount of the asset – 22,634 BTC. The other three added 2910 BTC (Marathon), 10,766 BTC (Coinbase Global) and 2237 BTC (Hut 8 Mining).

Two firms from this seven (Block and NEXON) retained the same amount of cryptocurrency reserves, reduced only Hive Blockchain by 24.56%.

In two years, three new companies entered the ranking, these are Galaxy Digital Holdings (12,545 BTC), Tesla (10,500 BTC) and Riot Platforms (7,275 BTC).

Tesla has experienced the most significant fluctuations in the volume of cryptocurrency assets during this period. In February 2021, Elon Musk’s company purchased about $1.5 billion worth of bitcoin at an average price of $36,000 per coin.

However, in the financial report for the second quarter of 2022, the firm said that it had sold 75% of the cryptocurrency for a profit of $64 million. Tesla explained the decision with environmental concerns and the need to rebalance the asset portfolio.

The company has continued to hold the remaining ~10,500 BTC ever since without buying or selling coins.

MicroStrategy has increased its Bitcoin portfolio by 17.45% since 2021. The firm made its only sale in December 2022, selling 704 BTC at an average price of $16,776.

At the end of June, the company controlled 0.725% of the digital gold market supply. However, due to large deals made in 2021, such as the purchase of 19,452 BTC at ~$52,765 (about 44% higher than current quotes), MicroStrategy’s ROI in bitcoin is relatively low.

Recall that in early August, Michael Saylor’s company additionally acquired 467 BTC for $14.4 million.

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