Strategy slowed its Bitcoin shopping spree but kept buying as crypto prices cooled, snapping up roughly $267 million worth of BTC last week—about 2,900 coins—according to a company release. The purchase marks the firm’s third straight week of accumulation but at a smaller clip than the two prior weeks, when it spent about $1.2 billion and $2.1 billion, respectively.
The Tysons Corner, Virginia-based firm remains the largest corporate Bitcoin holder, owning roughly 712,600 BTC, a stash valued at about $62.7 billion with Bitcoin trading near $87,600 (CoinGecko). Markets dipped below $90,000 on Friday amid emerging financial stress in Japan and renewed worries about a potential U.S. government shutdown.
Funding the buy: equity and preferred shares
Strategy financed most of the latest purchase by issuing common stock—97% of the roughly $264 million it raised—while also selling more of its variable-rate preferred shares, ticker STRC. STRC pays monthly dividends at an annualized cash rate of about 11%, and Strategy has pitched it as a cash-alternative for investors. This month the company has raised about $421 million via STRC offerings.
The firm has signaled a programmatic approach to STRC: when the preferred trades above $100, it will issue more to keep the price near that range and deploy proceeds into Bitcoin. STRC was trading at about $99.50 on Monday after earlier breaking above the $100 mark.
Risk controls and investor concerns
Strategy created a so-called USD Reserve tied to its preferred issuance, a move that raised investor questions that the company might one day be forced to sell BTC to meet obligations. Strategy says its cash reserves are sufficient to cover roughly 30 months of dividend payments.
mNAV, BTC Yield and the math of issuance
A key metric for the company is multiple-to-net asset value (mNAV), which helps determine whether issuing equity to buy Bitcoin is accretive. When mNAV is above 1, issuing common stock to buy BTC increases Bitcoin-per-share (its “BTC Yield”). Strategy’s mNAV was about 1.08 on Monday—still slightly above parity—suggesting recent equity raises have been modestly accretive.
Analyst take and market odds
TD Cowen analyst Lance Vitanza noted that even after the firm’s sizable $2.1 billion buy the prior week, Strategy can still accumulate meaningful Bitcoin while trading at a narrow premium to its holdings. He expects the company to keep leaning on common and preferred equity issuance to buy BTC so long as prices remain depressed.
On the prediction market Myriad (run by Decrypt parent Dastan), traders put an 86% chance Monday that Strategy’s mNAV (as calculated by Bitcoin Treasuries) will fall to 0.85 before it rises to 1.5—a touch lower than the 88% probability seen earlier in the month.
Bottom line: Strategy is pacing down its weekly purchases but remains committed to adding Bitcoin, using a mix of common-stock and preferred-stock fundraising while watching metrics like mNAV to judge how accretive those raises are.
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