MSTR Surges 6% After Tax Relief on Bitcoin Gains from Trump Admin

  • Strategy stock rose over 6% after the Trump Administration clarified new tax rules for digital assets.
  • The company will not be subject to the 15% corporate alternative minimum tax (CAMT) on unrealized Bitcoin gains.
  • Strategy holds over $74 billion in bitcoin with more than $27 billion in unrealized gains.
  • The firm states it no longer expects to pay the CAMT, according to its latest filing.
  • MSTR shares are up 17% year-to-date and 109% over the past year, trading just above $340.

Strategy (MSTR) stock increased by more than 6% on Wednesday after the U.S. administration issued new guidance exempting the company’s unrealized bitcoin gains from the upcoming corporate alternative minimum tax. The tax, known as CAMT, is a 15% minimum levy on large corporations. The recent decision means companies like Strategy do not have to include unrealized gains from digital assets when calculating taxes.

- Advertisement -

Strategy currently holds over $74 billion in bitcoin and reports more than $27 billion in unrealized gains on its bitcoin holdings. In a press statement, the company confirmed it does not expect to pay the CAMT. “Pursuant to the Interim Guidance, the Company plans to exclude its unrealized gains and losses from the calculation of its AFSI for purposes of determining whether it is subject to CAMT,” the filing said.

Strategy’s updated filing clarified, “As a result, the Company no longer expects to become subject to CAMT due to unrealized gains on its bitcoin holdings.” The company is considered one of the largest institutional holders of bitcoin globally, which has contributed to its share performance.

So far in 2024, MSTR shares have climbed 17%. Over the past year, the stock is up by more than 109%. In September, the company narrowly missed inclusion in the S&P 500 index, which caused shares to briefly fall. Presently, MSTR trades just above $340, just under its 200-day simple moving average of $355.

For more details, see: Michael Saylor Calls Bitcoin “Digital Capital”, MSTR Stock Rallies.

- Advertisement -

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest News

DeFi surge, three hacks and MEV bot returns majority funds!!

Three separate DeFi attacks this week drained millions and prompted on-chain recovery efforts.Makina reported...

BitGo shares tumble 22% after $212M IPO; dip below $15 at 2B

BitGo shares fell nearly 22% on the second trading day after its IPO debut...

Intel Slides 17% After Q1 Guidance Miss; Supply Constraints.

INTC shares fell more than 17% on Friday after a quarterly report and weak...

Gold’s FOMO Drains Bitcoin: Prices Falling, Metals Rise Soon

The author argues that Bitcoin prices are likely to weaken because fewer groups need...

Paradex refunds $650,000 to 200 users after error in markets

Paradex refunded $650,000 to roughly 200 users after a maintenance error caused unintended liquidations.The...
- Advertisement -

Must Read

Top 10 BEST Crypto Trading Books for New Traders

If you're thinking of diving into the crypto trading space, acquiring solid knowledge isn't just recommended - it's essential to protect your investment.Learning...
🔥 #AD Get 20% OFF any new 12 month hosting plan from Hostinger. Click here!