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MicroStrategy Buys More Bitcoin |
MicroStrategy (MSTR) has increased its bitcoin (BTC) holdings for the ninth consecutive week.
MicroStrategy holds more bitcoin than any other publicly traded company. In the week ending Jan. 5, MicroStrategy purchased a further 1,020 BTC for $101 million, bringing its total bitcoin holdings to 447,470 BTC.
It wouldn't be a Sunday without Executive Chairman Michael Saylor teasing the announcement in a post on X. The average purchase price of the bitcoin was $94,004, which raised the average price to $62,503.
The share price recovered on Friday with a 13% gain after an almost 50% drop from the Nov. 21 high of $543, while the stock is trading around $353 — 2% higher — in pre-market trading. In addition, MicroStrategy announced it would be raising up to $2 billion via a preferred stock offering. This $2 billion offering sits separately to the 21/21 plan of $21 billion in equity and $21 billion in fixed income.
Preferred stock takes precedence over Class A common stock. In the filing, some features include convertibility to Class A common stock, payment of cash dividends and provisions allowing for the redemption of shares. The perpetual preferred stock and price offering terms have yet to be determined, while the offering is expected to occur in Q1 2025. The purpose of the offering is for MicroStrategy to acquire more bitcoin. |
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MARA Holdings (MARA), the largest bitcoin (BTC) miner by market capitalization, said it is lending 7,377 BTC to third parties to generate a return on its holdings and cover some operating costs.
In a production report released Friday, MARA did not identify the borrowers nor reveal other details regarding the program, which ties up about 16% of its bitcoin. Robert Samuels, the company's vice president of investor relations, said in a post on X that it is earning a yield of less than 10%. "There has been significant interest in MARA's bitcoin lending program," Samuels posted. "It focuses on short-term arrangements with well-established third parties. It generates a modest single-digit yield. It has been active throughout 2024. The long-term objective is to generate sufficient yield to offset operating expenses".
The company produced 890 bitcoin last month, 2% fewer than in November, the production report shows. Still, it's the second-biggest number of BTC since April's reward halving.
"We mined 249 blocks, the second most blocks in a month on record," Chairman and CEO Fred Thiel said in the report. "MARAPool achieved an impressive annual hash rate growth of 168% in 2024, exceeding bitcoin's network growth rate of 49%." For all of 2024, MARA acquired 22,065 BTC at an average price of $87,205 and mined an additional 9,457 BTC taking its total held to 44,893 BTC. Bitcoin is currently trading just below $100,000. The company is the second-biggest publicly traded owner of bitcoin, trailing only MicroStrategy (MSTR). MARA shares rose 2.60% in pre-market trading and have 14% since the start of the year. |
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SOL Worth $227M Moved to Exchanges |
Bitcoin's (BTC) hashrate, the computational energy needed to mine a block in a proof-of-work blockchain, is on track to reach 1 zettahash per second before the next halving event in about 3.5 years, putting miners under pressure to secure cheap power deals and more efficient equipment.
The average hashrate could reach that level, equivalent to 1,000 exahash per second (EH/s), by 2027 even if it rises at the rather sedate pace of 20% a year. It's grown an average of 65% a year since 2020 and is currently around 787 EH/s on a seven-day moving average basis, according to Glassnode data.
The hashrate is an important component of bitcoin miners' profitability. The higher the hashrate, the higher the energy costs, which is why it's so important for miners to optimize their business operations. It also plays into network security, which has appreciated 56% in the past year.
The pace of growth accelerated in the second half of 2024 after April's halving, when the block rewards dropped 50% to 450 BTC per day, reducing the revenue miners receive. The squeeze became so intense that some miners couldn't survive by mining bitcoin alone. They had to pivot some of their operations to artificial intelligence (AI) computing and some even opted out to buy bitcoin in the open market. |
Traders Expect Post-Inauguration Highs |
Bitcoin (BTC) market trends indicate expectations for prices to reach record highs following President-elect Donald Trump’s inauguration on Jan. 20. On Saturday, a trader on crypto exchange Deribit spent over $6 million to purchase the $100,000 strike call options set to expire on March 28, according to data source Amberdata. "This trade anticipates that new highs for bitcoin will be broken just a few months after Trump officially takes office," Amberdata said on X. Traders are also net buyers at the $120,000 strike, indicating strong anticipation of a rally pushing prices above that level. The $120,000 call is the most popular option on Deribit, boasting a notional open interest of $1.52 billion at press time. A call option gives the buyer the right to buy the underlying asset at a specific price later in time. A call buyer is implicitly bullish on the market, looking to make asymmetric gains from an expected price rally. The renewed interest in the call options comes as BTC looks to regain the $100,000 handle. At press time, the leading cryptocurrency by market value traded above $99,500, marking an 8% recovery from the Dec. 30 low of $91,384, according to data source CoinDesk and TradingView. "The inauguration and right after will be a prime-time for bullish announcements and policies that could be bullish catalysts for bitcoin to move higher," Greg Magadini, director of derivatives at Amberdata, said in a weekly newsletter. Regulated cryptocurrency index provider CF Benchmarks voiced a similar opinion while warning that potential delays in policy development, if any, could temper the bullish mood. "A restructured SEC under pro-cryptocurrency leadership may reduce enforcement risks and foster innovation. These changes, coupled with streamlined compliance requirements, could enhance investor confidence," CF Benchmarks said in an annual report shared with CoinDesk. "We believe that an industry framework will come, however, implementation delays or policy shifts may temper market optimism, creating short-term volatility," the firm added. Expectations for pro-crypto regulatory changes have bolstered the crypto market sentiment since Donald Trump won the U.S. election in early November. BTC rose from roughly $70,000 to new lifetime highs above $108,000 weeks after the election. However, the rally has lost steam in the second half of December, likely due to year-end profit-taking and hawkish Fed rate projections. |
The Takeaway: Why We're Remote-First |
Five years after COVID-19 sparked a global remote-work revolution, the pendulum seems to be swinging back. Some of the very companies that once embraced remote work, like Amazon and X (formerly Twitter) are now asking employees to return to the office. For many, this makes sense. These organizations were conceived as “in-person” enterprises, with workflows and cultures built around physical proximity. Remote work was a necessary adaptation during a global crisis, but for some, its efficiencies may not justify a permanent transition.
Remote-first is not a temporary patch for us; it is our foundation as it is for many companies in the Web3 and crypto sector. From the moment Binance was established in 2017, it was designed as a global, remote-first organization, a model tailored to the demands of an industry that never sleeps. Operating in the borderless world of crypto, where markets function 24/7 and our users span every corner of the globe, a remote-first model is not just reasonable – it’s essential. My belief is that, over time, remote-first work will not remain a niche strategy. As industries evolve and talent dynamics shift, this model will become dominant. Companies that are now forcing employees back into offices will eventually find themselves adapting to this new reality – once again. Cryptocurrency is inherently global and decentralized. The crypto and Web3 industry operate around the clock, with no single geographic or temporal center. Binance’s remote-first model aligns perfectly with these demands, enabling us to serve users in over 100 countries without the overhead of maintaining sprawling physical offices. Our entire workforce of more than 5,000 employees working from nearly 100 countries are remote first. A study by Stanford University revealed that remote work increases productivity by 13 percent while reducing turnover rates and organizations save an average of $11,000 annually per employee by adopting remote-first models with reduced office costs and increased efficiency. This approach maximizes efficiency, allowing us to operate lean and agile while empowering our teams with the autonomy to deliver exceptional results. We also provide hybrid work in jurisdictions where we hold regulatory approvals and have a physical presence in places like Dubai and Paris, allowing us to have hubs for collaboration and regulatory engagement without compromising on the benefits of a distributed workforce. And, balancing global operations with local nuances that ensure us to adhere to jurisdictional requirements seamlessly and maintaining a physical presence where required. Efficiency does not come automatically in a remote-first setup. It requires deliberate systems, strong culture, and the right tools. At Binance, we place immense emphasis on hiring the right people: self-driven individuals who thrive in a fast-paced, decentralized environment. We provide them with the tools and resources to succeed, whether it’s cutting-edge collaboration platforms or flexible budgets to execute their goals. Maintaining a cohesive culture across a distributed workforce is perhaps the biggest challenge, but it is also where Binance excels. We foster a shared culture built on user focus, mutual respect, direct communication, and a shared commitment to innovation. Regardless of where an employee is based, they are united by our principles: no discrimination, strong user-centricity, and a relentless drive to push boundaries. Technology plays a key role here, allowing us to maintain seamless communication and collaboration across time zones. Of course, challenges remain. Time-zone differences can complicate synchronous collaboration, and fostering a sense of belonging in a fully remote environment requires intentional effort. To address these, we fine-tune asynchronous workflows, invest in robust team-building initiatives, and create opportunities for employees to connect virtually and in-person where possible. While remote-first is central to Binance’s success, it is not a one-size-fits-all solution. It works best for industries and organizations that value agility, creativity and global reach. For traditional industries with deeply entrenched in-office processes, or for companies whose cultures were shaped by decades of physical collaboration, a full pivot to remote work may not be feasible – at least, not yet.
Even within the tech sector, there are notable differences. Companies like Amazon that once epitomized innovation have settled into more rigid structures over time, requiring employees to work in the office three days a week and increasing that to five by 2025 while monitoring their in office days, prioritizing control over flexibility. For these organizations, reverting to an office-based model may seem logical. But I believe this approach overlooks the broader trends shaping the future of work. Remote-first work demands a certain type of talent: creative thinkers, self-motivated individuals, and those who thrive on autonomy. It also requires organizations to embrace a culture of trust and accountability. Not every company, or every employee, is prepared for this level of independence but the rewards are immense: access to a global talent pool, unparalleled flexibility, and the ability to move at the speed of innovation.
Read the full op-ed here.
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