Strategy’s Bitcoin Buying Accelerates as $48 Billion BTC Stash Sits Underwater
Strategy recently purchased 2,500 Bitcoin for $168 million, increasing its total holdings to approximately 717,100 BTC (about $48 billion). The acquisition was funded by issuing $90.5 million in common stock and $78.5 million in preferred STRC shares, which offer an 11.25% annualized cash dividend. This reflects a growing reliance on preferred shares for financing as the company's assets near the value of its Bitcoin holdings. Strategy shares declined 2.6% and are down 64% over the past six months, heightening scrutiny of its financial resilience and $8.2 billion in convertible debt, targeted for conversion to equity by 2028. Co-founder Michael Saylor claims the firm could withstand a 90% prolonged Bitcoin price drop via debt refinancing, a stance met with skepticism. Strategy spent $54.5 billion acquiring Bitcoin and holds a $3.6 billion paper loss after recent price declines. Prediction markets see an 18% chance it will sell Bitcoin this year. Despite sector challenges, Strategy stands out as the primary buyer among public firms in early 2026.
