Saylor Hints Bitcoin Buy Amid Suit Over Strategy Losses

Michael Sylor has again indicated that the strategy would buy more bitcoins, although a company previously known as Microstratega and its highest brass was affected by investor’s trial of its $ 5.9 billion in the first quarter of his bitcoin possession.

Sayl published chart Strategy past bitcoin (BTC) Purchases on Sunday X with the headline: “Nothing stops this orange.”

Its past Similar cryptic x posts They were the predecessor of the Bitcoin Purchase Strategy. The company has the largest bitcoin shares of all public companies at 592 100 BTC worth around $ 59.7 billion, with bitcoins being traded just below $ 101,000.

The best executive strategies sued more than $ 5.9 billion

Saylor’s contribution came after an investor sued on Thursday, claiming that he had violated his trust duties before reporting the loss of bitcoins in the first quarter of Thursday.

Complaints of the shareholder’s derivative Abhey Parmar, filed with the Federal Court in Virginia, allegedly Saylor, the CEO of the Phong Le strategy, the financial chief of Andrew Kang and the four directors “made a significantly false and misleading statement” about the change of accounting practice.

The complaint said in January the strategy was enacted a month earlierallowing the company holders to use the estimated market value of its crypt in their balance sheets.

The indictment claimed that the change of accounting caused the strategy to record an unrealized loss of $ 5.9 billion per bitcoins for its Q1 results shared in early April, causing the company’s stock price to drop by almost $ 9%.

Shares of Microstrategy Inc. (Mstr) this year increased by almost 28% and at the beginning of April they returned from less than $ 238. Source: Google Finance

In the leadership, the leadership argued that the management of the strategy “failed to detect exactly the full scope” of the possible impact of the accounting change and that it did not publish that “the risks associated with Bitcoin’s volatility were greater than represented”.

“The company’s profitability in the application of its investment strategy of bitcoin and the state treasury was significantly less profitable than represented,” the action said.

Strategy Execs reportedly earns $ 31 million with a “inflated” sale of shares

The complaint was also accused by the staff of the strategy of “involvement in lucrative sales of initiated persons” of the company’s shares while “artificially inflated” before the impact of accounting changes was published.

Permanently claimed by Parmar, the executives have been released with almost $ 31.5 million.

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The complaint was also accused by managers of abuse of their control, gross poor management and waste by corporate assets.

Class Action claims a strategy of a distorted Bitcoin investment

Strategy has also been hit trial In mid -May, similarly above the adoption of the Crypto Accounting FASB rule, which allegedly contributed to its losses Q1.

That suitSimilarly, Anas Hamza filed that the company “failed to disclose a specific nature or extent of the expected impact in reducing the risk of operator” when she accepted a new way of accounting.

The strategy stated in the regulatory filing in response to the proposed class action that it would “strongly defend themselves against these claims”.

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