Microstrategy, now renamed as a strategy, is expected to receive an increase of $ 12.75 billion to its balance sheet, according to analysts from the Bernstein report. The strategy reported a net loss of $ 670.8 million for the fourth quarter of 2024, operating expenses amounting from 693% in annual shift to $ 1.1 billion. This includes more than a billion dollars in depreciation loss linked to its Bitcoin holdings, compared to $ 39.2 million in the same quarter of 2023.
Strategy to recognize unrealized bitcoin gains
With the strategy adopting the new rules of accounting of the fair value of the Financial Accounting Standards Board, this will lead to a unique cumulative adjustment of $ 12.75 billion to the opening balance of its kept profits, noted Bernstein analysts , which will allow the Society of the Society to recognize the unrealized gains on its Bitcoin operations.
Analysts also noted that from the first quarter of 2025, Bitcoin’s accounting value will line up with its market value, allowing the company to report any increase in prices as a gain in its net income.
However, uncertainty is looming on the tax treatment of Strategy Bitcoin holdings under the new rules of FASB in combination with the provisions of the law on the reduction of inflation of 2022.
Microstrategy is now the “strategy”
Microstrategy renowned Just “strategy” before its gains on Wednesday. The new logo presents a stylized “₿” to represent its accent on Bitcoin and its position as a Bitcoin cash company. The main color is now orange, symbolizing energy, intelligence and bitcoin.
On Monday, the 12 -week sequence of Bitcoin of strategy ended after confirming that no ordinary class A shares was sold as part of its program to offer the implementation, And that no bitcoin was bought between January 27 and February 2.