Microstrategy did not only buy more Bitcoin in November and December, they also SOLD 704 Bitcoins for $11.8 million on December 22

It was just announced that Microstrategy bought about 2500 Bitcoins between November 1 and December 21 for $42.8 Million.

However, Microstrategy also SOLD 704 Bitcoins for approximately $11.8 million for tax purposes. The filing reads:

https://preview.redd.it/xi2jyfiwgn8a1.png?width=2646&format=png&auto=webp&s=a147dc6145c675233c0ee6efb5a9a4d1e1f21cb2

This is something called 'tax loss harvesting'. How does tax loss harvesting work? Well:

1. "You sell an investment that's underperforming and losing money.
2. Then, you use that loss to reduce your taxable capital gains and potentially offset up to $3,000 of your ordinary income.
3. Finally, you reinvest the money from the sale in a different security that meets your investment needs and asset-allocation strategy."

Here's a great information on tax loss harvesting: CNBC & Schwab.

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• Is this the first time Microstrategy sold some Bitcoin? A beautiful example of buy high sell low. 😂
• Are you considering the same move? It might help cut your tax bill!