of course a fund doesn't care if it buys 1,000 stocks at 1600 or 10,000 stocks at 160. The split only matters for smaller investors, who would want to invest "a fraction", i.e. less than the current share price. So, in other words, MSTR is going after small investors managing their own portfolios.
ETFs were effectively a stock split for bitcoin. People are scared by the $60k price tag of BTC but feel better buying $20-$50 shares of FBTC, BRRR etc.
The stock split will be effected by means of a stock dividend to the holders of record of MicroStrategy’s class A common stock and class B common stock as of the close of business on August 1, 2024, the record date for the dividend.
In each case, the shares are expected to be distributed after the close of trading on August 7, 2024. Trading is expected to commence on a split-adjusted basis at market open on August 8, 2024. The stock dividend will not have any impact on the voting and other rights of stockholders.
The playbook has been rewritten by Saylor. Streaming sats as a dividend would just be a very powerful new chapter. It would create a buying frenzy and orange pill tons of normies. Both beneficial to MSTR.
I have not seen a whisper of it anywhere. It's an idea that occurred to me when considering how MSTR could flip investors into bitcoiners. It would be a huge announcement if it were ever to become realized and probably pull a lot of funds from the ETFs in the process further accelerating Saylor's ambitions.
Despite its size, Berkshire had for many years not been included in broad stock market indices such as the S&P 500 due to the lack of liquidity in its shares; however, following a 50-to-1 split of Berkshire's Class B Shares in January 2010, and Berkshire's announcement that it would acquire the Burlington Northern Santa Fe Corporation, parent of BNSF Railway, Berkshire replaced BNSF in the S&P 500 on February 16, 2010.[17][18]
ahhh just diluting the shares when I had room mates who were tesla guys they were excited for the 4 to 1 split and it made me think?? why would u be happy with your stock being diluted now u need more people to pump ur bag in...their response was well I still have the same amount of money and more tesla stocks now...i was the only one looking at the dilution lol it was wild
Splitting is essentially issuing stock due to supply going up. I would say but great analogy my thing is bitcoin doesn't do that y u see price where it's at microstrategies will never reach that due to these splits same as tesla
Yes, after a split an individual share is worth less bitcoin per share from MSTR treasury equity, but this does not matter for the existing holders.
Everyone has exactly the same amount of Bitcoin before and after the split — there is no dilution, as everyone just gets a proportional slice of their existing position.
Nobody loses out in a split. It’s the same amount of underlying. It generally a good thing to keep stocks in a range $1-100 because it makes options contracts cheaper (contracts are sold as bundles of 100 shares underlying).
Unbought? There are no unbought shares. There are 17.74M MSTR stocks out there with an owner. Outstanding stock means stock that’s out there. Every order on an exchange is still stock owned by the person making the exchange.
All these holders have have 10 the shares and 1x the Bitcoin.
So if I buy 2 stocks out of the 100 it splits and I sell 4 back then how does that not add? Putting 4 into 98 ? I appreciate u explaining it so i can grasp
LOL unit bias is a hell of a drug, and saylor is cooking them for all its worth, good on you mate, this dude is stopping at nothing with his financial engineering play book
In regards to this stock split:
Historical info on prior stock splits:
moneysats where is his mouth is.