Strategy sold 3,588 bitcoin for about $216 million shortly after buying a similar amount at higher prices. The transactions and an $8.32 billion quarterly loss have renewed questions about how the company balances its bitcoin holdings with preferred-stock dividend obligations.
Strategy sold 3,588 bitcoin for about $216 million shortly after buying a similar amount at higher prices. The transactions and an $8.32 billion quarterly loss have renewed questions about how the company balances its bitcoin holdings with preferred-stock dividend obligations.
Strategy sold 3,588 bitcoin for approximately $216 million, days after purchasing 3,657 BTC at substantially higher prices. The company’s rapid reversal left it with only a small net increase in bitcoin despite committing additional capital.
Strategy sold 3,588 bitcoin for approximately $216 million, days after purchasing 3,657 BTC at substantially higher prices. The company’s rapid reversal left it with only a small net increase in bitcoin despite committing additional capital.
The transactions matter because Strategy is the largest publicly traded corporate holder of bitcoin and has historically been a major source of demand. Its shift from accumulating BTC to selling it could affect market expectations while raising questions about the company’s capital-allocation framework.
The sale followed a smaller disposal of 32 BTC in late May. Over the same period, bitcoin fell from nearly $74,000 to below $58,000 before recovering toward $64,000 during the July 4 weekend. Strategy’s latest sale interrupted that rebound, according to CoinDesk.
The company may be prioritizing liquidity for dividends on its STRC preferred stock, whose yield was recently increased by 50 basis points to 12%. STRC continued recovering after falling below $75, while Strategy’s common shares and bitcoin traded lower on Monday.
Strategy now holds 843,775 BTC acquired at an average price of $75,476. It also recorded an $8.32 billion second-quarter loss on its bitcoin holdings after BTC declined from about $68,000 at the start of April to roughly $60,000 at the end of June. Its cash reserves cover more than 17 months of dividend payments, potentially reducing the need for similarly large bitcoin sales in the near term.
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