Update Nov. 26, 8:05 am UTC: This article has been updated with the correct note offering and comments from Allianz.
Germany’s largest insurance company, Allianz, has made an investment in MicroStrategy’s $600 million convertible note offering, signaling increasing institutional interest in Bitcoin.
Allianz — the second-largest insurance provider in Europe — has acquired 24.75% of MicroStrategy’s $600 million note sale, which closed for institutional investors in March 2024.
The insurance giant made the investment across four different sub-organizations, according to Bloomberg Terminal data viewed by Cointelegraph.
Allianz MicroStrategy investment. Source: Cointelegraph markets team
Despite conflicting data, the insurance giant invested in MicroStrategy’s $600 million offering from March, not the latest $2.6 billion note sale closed on Nov. 21, according to Allianz’s head of media relations, Heidi Polke.
Polke told Cointelegraph:
“Some funds distributed by AllianzGI and managed by Voya Investment Management in the US have in the past participated in MicroStrategy's convertible bond issues. However, the total volume of convertible bonds held is well below the sums being bandied about on the market. It is in the three-digit million range.”
When asked about MicroStrategy’s latest $2.6 billion note sale, Polke said that Allianz doesn’t comment on individual investments. She added:
“We do not comment on individual investments, but only confirm that our overall investment engagement in MicroStrategy’s various bond issues amounts to a three-digit million sum (far away from being a strategic investor in the billion USD range).”
Large institutional investors like Allianz could contribute to Bitcoin’s (BTC) price rally, as MicroStrategy has been using the raised funds to “acquire additional Bitcoin and for general corporate purposes.”
BTC/USD, 1-month chart. Source: Cointelegraph
The news comes shortly after Bitcoin crossed the $99,000 record high after printing the biggest-ever monthly candle of over 40%, with eight days left before the end of November — bolstering analyst expectations for a rally above $100,000.
Allianz MicroStrategy holding periods by quarter. Source: Cointelegraph markets team
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Saylor’s MicroStrategy completes $3 billion note sale amid Bitcoin rally
MicroStrategy initially planned an offering of $1.75 billion aggregate principal amount of notes, which was first announced in a Nov. 18 statement.
However, the world’s largest corporate Bitcoin holder decided to upsize the note sale to $2.6 billion just two days later, on Nov. 20.
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MicroStrategy completed the note offering on Nov. 21, raising $3 billion worth of capital, signaling that initial purchasers bought the maximum amount of additional notes during the offering, according to Michael Saylor, the founder and CEO of MicroStrategy.
MicroStrategy completes $3B sales. Source: Michael Saylor
MicroStrategy’s newly-raised capital could push Bitcoin above the $100,000 all-time high, which could occur before the end of the month, according to Ryan Lee, chief analyst at Bitget Research.
The analyst told Cointelegraph:
“If history repeats itself and Bitcoin prices grow as projected, a 14.7% from the current price level will push the coin well above the $100,000 target for the month. The post-halving cycle trend is also very positive when projecting the future of Bitcoin.”
Yet others worry about the growing leverage in crypto markets. On Nov. 12, Kris Marszalek, the co-founder and CEO of Crypto.com, warned that the crypto market will need deleveraging before Bitcoin can breach $100,000.
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