The founder of Dell Technologies just sold $1.22 billion worth of his company’s stock, raising eyebrows about his interest in Bitcoin.
This is the second time in September that he has sold 10 million shares.
There is more!
Dell offloaded these papers but still retains over 16.91 million shares valued at more than $2 billion at the time of reporting.
This sale follows another giant transaction on September 23, when he disclosed selling 10 million shares worth approximately $1.17 billion across seven transactions between September 19 and September 23.
Dell Technologies’ stock has seen a pretty nice increase of 58.5% this year, and this rise allowed the company to rejoin the S&P 500 on September 24.
The tech firm is benefiting from a growing interest in artificial intelligence and a surge in demand for servers that support AI applications.
There is any impact?
While it is unclear why Dell chose to sell such a large portion of his company’s stock, traders haven’t reacted strongly to these sales.
On September 30, Dell’s share price fell just 0.33% in after-hours trading and rose by 0.74% over the last five trading days.
Dell sparked curiosity online back in June with some cryptic posts that hinted at his interest in Bitcoin, either personally or for his business.
He tweeted, “Scarcity creates value”, a phrase commonly associated with Bitcoiners discussing its capped supply of 21 million coins. This caught the attention of Michael Saylor, the founder of MicroStrategy, who replied that “Bitcoin is Digital Scarcity.”
Dell even shared an AI-generated image of Cookie Monster from Sesame Street munching on Bitcoin-themed cookies.
He bought?
Despite these posts about cryptocurrency, Dell Technologies didn’t add any Bitcoin to its balance sheet in the second quarter of this year.
Their results from August showed a year-on-year revenue increase of 9%, along with record revenue from servers and networking—up 80% compared to the previous year.
If Michael Dell continues to show interest in Bitcoin and if market conditions remain favorable, and these are quite big if-s, it could lead to big changes for both him and Dell Technologies in the future.
