The business intelligence company, MicroStrategy Inc (NASDAQ: MSTR) has responded to the Financial Accounting Standards Board (FASB)’s proposed accounting standards for crypto assets. The company submitted a letter on Monday addressing the matter. In support, MSTR has backed the authority’s efforts to promote fair value accounting for Bitcoin and other cryptocurrencies.
MicroStrategy has announced that it holds the largest amount of Bitcoin among public companies. In breaking news, MSTR has announced that it currently holds a staggering 140,000 Bitcoins as of March 31, 2023. This impressive amount is estimated to be worth approximately $3.78 billion as of May 22, 2023. The recent report revealed that the company had acquired BTC at an initial cost of $4.17 billion.
Micheal Saylor, a BTC holder, recently tweeted about the update of Microstrategy and FASB:
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Today @MicroStrategy submitted a letter responding to and supporting FASB’s proposed accounting standards update to allow fair value accounting for corporate #Bitcoin holdings. If you agree, you can voice support via the FASB survey by 6/6/23. https://t.co/ubJzzoOYat
— Michael Saylor⚡️ (@saylor) May 22, 2023
MSTR’s Bitcoin holdings have reached an approximately $3.986 billion market value. In a remarkable development, the company’s consolidated balance sheet now shows that it carries twice the amount of BTC it previously held. MicroStrategy has expressed its support for the proposed air value model by FASB. The company believes this model would allow them to offer investors more pertinent information.
For the past week, the price of Bitcoin has been facing heightened selling pressure. At the time of press, the average trading price of BTC stands at $27,303.02. The 24-hour trading volume has recently surged by 27% and currently stands at $10.4 billion.
MSTR acknowledged FASB’s intention to initially limit the scope criteria, despite the increasing variety of crypto assets available in the market, in their response. It has been asserted that several intricacies exist associated with non-fungible or wrapped tokens and similar entities.
