Capital International Group acquires 12.2% Stake of Microstrategy, Increasing their Fund’s Exposure on Digital Assets

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July 13, 2021
Capital International Group acquires 12.2% Stake of Microstrategy, Increasing their Fund’s Exposure on Digital Assets

A $2.3 trillion asset management company headquartered in Los Angeles, Capital International Group, has acquired a 12.2% stake in Microstrategy, a business intelligence company that is also one of the largest indirect investors in Bitcoin (BTC). 


A US SEC (the United States Securities and Exchange Commission) filing shows that after the acquisition, Capital International Group currently holds 953,242 stocks of Microstrategy (MSTR). At current prices, these stocks are worth around US$560 million. The only firm that holds more shares of Microstrategy than Capital International Group is BlackRock.

MicroStrategy Stock Raises Correlated with Bitcoin but Remains More  Volatile and a Worse Investment | by Jesus Rodriguez | IntoTheBlock | Medium


In the SEC filing, Capital International Group has been referred to as CII. The filing read:


“CII is deemed to be the beneficial owner of 953,242 shares or 12.2% of the 7,782,568 shares believed to be outstanding.”


The clientele of Capital International Group includes pension trustees, wealth managers, family offices, and others. By acquiring an investment stake in MicroStrategy, the asset management company headquartered in Los Angeles is most likely exploring digital-asset exposure more broadly. 


How Many Bitcoins Does MicroStrategy Have? - CoinShark

MicroStrategy currently holds 105,084 bitcoins on its books. In fact, the entities under its CEO Michael Saylor hold over 111,000 bitcoins. In fact, Microstrategy is so bullish on Bitcoin that it raised US$400 million in debt for buying additional bitcoins. 


The recent acquisition of a 12.2% stake of MSTR shows that institutional appetite for digital assets, especially Bitcoin, is increasing rapidly. In fact, the Grayscale GBTC fund’s ongoing success and rapid uptake of Canada's Purpose Bitcoin ETF show that institutional investors are rapidly exposing their funds to cryptocurrencies and other digital assets.

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