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As per a recent filing with the U.S. Securities and Exchange Commission, MicroStrategy holds nearly 499,096 BTC to carve its name as the largest corporate Bitcoin holder. The number, however, reveals the broader link the company is going with the future of cryptocurrency.
More than just the huge figures, there is a more extensive debate: Should the company authenticate its holdings with blockchain-based Proof of Reserves, as crypto exchanges do? This has analysts, experts, and even lay investors talking.
This is a closer look at what this means, how the company handles things differently, and why it matters.
How Much Bitcoin Does MicroStrategy Hold?
As of March 2025, the company formerly known as MicroStrategy, now renamed Strategy₿, owns approximately 499,096 bitcoins. The total investment amounts to about \$33.1 billion, with an average purchase price near \$66,357 per bitcoin, which includes fees and expenses.
Bitcoins are now trading at around \$104,796. The company would thus enjoy unrealized profits amounting to around \$19.2 billion, reflecting the long-term investment strategy of Strategy B in Bitcoin as an asset. Market volatility and regulatory changes remain ongoing risks potentially affecting future developments.
What Is Proof of Reserves and Why Does It Matter?
In Proof of Reserves (PoR), crypto exchanges will show they have custody of customer funds. This usually consists of publishing wallet addresses or some form of cryptographic attestation. Trust is the game’s name, especially following some well-publicized crypto collapses, including FTX, in which users lost funds they believed were safe and sound.
For custodians and exchanges, PoR is now a sine qua non. It assures customers their funds are not being loaned elsewhere or misplaced behind the curtains. However, the situation is much more widely applied to companies like MicroStrategy.
Why On-Chain Proof of Reserves Is Rejected
Michael Saylor, executive chairman of MicroStrategy, is publicly against blockchain-based Proof of Reserves. His reasoning? Security and context.
Saylor believes disclosing the wallet addresses might expose the company to cyber risks. Hackers may then use AI or blockchain forensics to trace transactions and go for the jugular.
Also, from Saylor’s perspective, Proof of Reserves only has a partial view. It proves what you have, not what you owe. Companies like MicroStrategy deal with debt, convertible notes, and business expenses. Those liabilities are not seen on a blockchain.
Instead of blockchain auditing methods, the Bitcoin-focused company chooses to be transparent via SEC-mandated filings. Those filings disclose Bitcoin holdings and debt obligations, stock issuance, impairment proceeds, and more.
What Analysts and Experts Say
Some experts support Saylor’s position. They advocate that public companies are usually held to a public standard of transparency for regulation.
Not all agree. A crypto analyst at X, formerly Twitter, wrote:
“Saylor is hiding something or doesn’t understand the basics of Bitcoin. Proof of Reserves would boost investor trust.”
Both CoinDesk and Cointelegraph protest that public sentiment is divided on the issue of transparency. Conventional investors use SEC documents, while crypto-born investors would rather have transactions tracked on the blockchain.
Nevertheless, the Bitcoin-focused company does not intend to publish wallet addresses or cryptographic proofs. They argue that formal regulation takes precedence over public wallet display regarding accountability.
Bitcoin Price and MicroStrategy’s Gains
Here’s a snapshot of recent Bitcoin prices from leading platforms:
| Source | Price (USD) | 24H Change |
|---|---|---|
| CoinMarketCap | $104,796 | +0.18% |
| CoinGecko | $104,560 | -0.12% |
With an average acquisition cost of around $70,023, MicroStrategy has racked up impressive profits on its BTC portfolio. As of June 2025, the company recorded more than $20.21 billion in unrealized profit, a strong increase in the price of Bitcoin per share.
This return inspires confidence on the part of investors and strengthens the long-term strategy of the company with respect to Bitcoin.
How MicroStrategy Balances Transparency and Risk
Instead of Proof of Reserves, the Bitcoin-focused company shares detailed financials through:
- Quarterly 10-Q and annual 10-K reports
- Real-time updates on their official dashboard
- Public earnings calls outlining BTC activity
These materials give shareholders and analysts an in-depth view of how Bitcoin fits MicroStrategy’s overall strategy.
Even if the crypto world demands on-chain proof, the company uses the old tools of trust-legal compliance, external audit, and public financial reports.
Conclusion
MicroStrategy is the corporate embodiment of Bitcoin commitment. However, with the accumulation of such assets within its books, doubts about transparency will always hover over the investment.
While Proof of Reserves is the most suitable safety assurance to show those who own crypto exchanges, it does not apply to a public company. The Bitcoin-focused company thus enjoys regulated financial reports over cryptographic attestations for broader and safer exposure.
Investors seem to agree: the market’s confidence in this company keeps growing with Bitcoin’s value. However, whether a Proof of Reserve will be standardized among public companies will always be a question mark. In any case, MicroStrategy shows its cards through its balance sheets and long-term strategy. For the moment, that might be enough.
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FAQs
What is the current amount of Bitcoins held by MicroStrategy?
About 499,096 BTC held as of February 2025.
Why does the firm avoid Proof of Reserves?
Michael Saylor explains it in terms of security, and that it gives an incomplete view of finances.
How does a company put out its Bitcoin plans?
Through SEC filings, real-time dashboards, and earning calls.
Is the Bitcoin investment indeed profitable?
Yes. As Bitcoin approaches $105K and the average acquisition cost is $66K, the investment produces billions in profits.
Glossary of Key Terms
BTC: Bitcoin, by market cap, is the largest crypto
SEC: U.S. Securities and Exchange Commission
Proof of Reserves (PoR): A method to verify crypto holdings
Convertible Notes: This is outstanding liability converted into shares
10-K/10-Q: Annual/quarterly financial statements submitted to the SEC
