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MicroStrategy has leveraged bitcoin to address long-standing challenges in private equity fundraising and capital structure design.
The company raised permanent capital through public markets, bypassing traditional closed-end private equity cycles.
Bitcoin strategy manager Chaitanya Jain said the firm solved two core private equity problems.
Private equity has tried to raise from retail and build perpetual funds, and Strategy has achieved both.
Chaitanya Jain said.
MicroStrategy issued publicly listed securities to create permanent capital accessible to retail investors.
The firm introduced bitcoin-backed “Digital Equity” and “Digital Credit” as institutional-grade financial instruments.
Digital Equity offers leveraged bitcoin exposure through the company’s capital structure.
Digital Credit provides credit facilities backed directly by bitcoin reserves.
Jain described 2025 as “Year 0” for Digital Credit, focused on building and scaling BTC-backed lending.
Strategy raised about $21 billion in 2025 through equity, preferred stock and convertible debt offerings.
The capital supported aggressive bitcoin accumulation during a subdued market period.
The company currently holds 672,497 BTC, acquired at an average price near $75,000.
Analysts now describe Strategy as the world’s largest corporate bitcoin treasury vehicle.
Jain said 2026 represents “Year 1,” marking full-scale deployment of its bitcoin-based capital model.
At the time of reporting, Bitcoin price was $92,782.53.