Nasdaq-listed Microstrategy, which has amassed nearly 100K bitcoins in its treasury, has modified its compensation agreements for the board of directors. The company will now pay non-employee directors in bitcoin, citing its commitment to the cryptocurrency â€œgiven its ability to serve as a store of value, supported by a robust and public open-source architecture, untethered to sovereign monetary policy.â€
Board of Directors Will Be Paid in Bitcoin
Microstrategy Inc. (NASDAQ: MSTR) has filed a form with the U.S. Securities and Exchange Commission (SEC) stating that its Board of Directors has â€œmodified the compensation arrangements for non-employee directors.â€ The filing explains, â€œGoing forward, non-employee directors will receive all fees for their service on the companyâ€™s Board in bitcoin instead of cash,â€ adding:
The SEC filing further clarifies that the board fees payable to directors will remain unchanged and will continue to be nominally denominated in U.S. dollars under the new agreement. It also notes that â€œAt the time of payment, the fees will be converted from USD into bitcoin by the payment processor and then deposited into the digital wallet of the applicable non-employee director.â€
Microstrategy has been aggressively acquiring bitcoin since it made the cryptocurrency the companyâ€™s primary reserve currency back in August last year. In its latest announcement on April 5 regarding the acquisition of bitcoin, the company revealed that â€œit had purchased approximately 253 bitcoins for $15.0 million in cash, at an average price of approximately $59,339 per bitcoin, inclusive of fees and expenses.â€ As of April 5, Microstrategy says:
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