Key Insights
- Strategy sold 1,638 Bitcoin for $104.7 million to support dividends and STRC stock buybacks.
- MSTR stock sales raised $290.6 million and lifted the dollar reserve to $4 billion.
- The company now holds 842,138 BTC while new Bitcoin purchases remain paused.
Strategy sold 1,638 Bitcoin for $104.7 million during the week ending August 2. The company used the proceeds for preferred dividends and STRC stock repurchases. The sale occurred at an average price of $63,957 per coin.
After the transaction, Strategy held 842,138 Bitcoin in its corporate reserve. The company also lifted its U.S. dollar reserve to $4 billion. The moves show a clear shift toward liquidity and preferred-share support.
New Bitcoin purchases remain paused while management works to strengthen STRC stock. The company is also preserving financing flexibility during weaker cryptocurrency market conditions.
Meanwhile, this article reports on publicly disclosed corporate information and is intended solely for informational purposes. It should not be interpreted as financial or investment advice.
Strategy Redirects Bitcoin Sale Proceeds Toward STRC Stock
Strategy allocated $52.4 million from the Bitcoin sale toward preferred-stock dividend payments. Another $52.3 million funded repurchases of STRC stock under its approved securities program.
The company repurchased 912,143 STRC shares for $81.2 million during the reporting period. The latest purchase leaves about $893.8 million available under the preferred-securities repurchase authorization.
Strategy also maintained STRC’s semi-monthly dividend at $0.50 per share. That payment equals a 12% annualized rate based on the $100 stated value.
STRC stock has traded below that stated value, Yahoo Finance data showed, increasing pressure on the company’s financing model. A weaker preferred-share price can reduce the effectiveness of future capital raises.
Management has therefore focused on discounted repurchases instead of repeated dividend increases. The company previously changed STRC payments from monthly to semi-monthly without increasing its total dividend obligations.
The decision follows Strategy’s revised capital framework introduced in late June. That policy allows Bitcoin sales for dividends, debt payments, reserve funding, and approved security repurchases.
Earlier filings with the US SEC showed Strategy had already used Bitcoin proceeds to support preferred distributions and its dollar reserve.
MSTR Stock Sales Lift Strategy Dollar Reserve to $4 Billion
MSTR stock sales generated $290.6 million in net proceeds during the same reporting period. Strategy sold 3,011,361 common shares through its at-the-market program.
The company directed $250 million toward its U.S. dollar reserve. Another $28.9 million supported additional STRC stock repurchases. The remaining $11.7 million increased the company’s cash balance.
The reserve reached $4 billion as of August 2. Michael Saylor said the added liquidity extended the reserve runway by 57 days.
Strategy now estimates that reserve coverage is roughly 2.3 years. The cash pool supports preferred dividends and interest payments on outstanding debt.
The larger reserve gives management more room during periods of weaker Bitcoin prices. It also reduces the need to raise capital under unfavorable market conditions.
However, the approach temporarily limits fresh Bitcoin accumulation. Strategy’s holdings now total 842,138 Bitcoin, acquired for about $63.5 billion.
The position still makes the company the largest corporate Bitcoin holder. The latest sale represents a small portion of the overall reserve.
Strategy Prioritizes STRC Stock Before New Bitcoin Purchases
Strategy’s second-quarter results increased attention on its capital structure. The company reported an $8.22 billion net loss after a large unrealized Bitcoin valuation decline.
Management said the accounting loss did not change its long-term treasury strategy. Chief Executive Phong Le said new Bitcoin purchases would remain limited while STRC stock traded below $100.
Restoring the preferred security closer to par has become the immediate priority. That objective supports future fundraising through Strategy’s digital credit securities.
The company has also changed how it sets STRC’s dividend rate. Management now considers market price, competing yields, credit spreads, Bitcoin volatility, and reserve coverage.
The policy replaces automatic rate increases whenever STRC trades below its stated value. Strategy has now disclosed three Bitcoin disposals during 2026.
The earlier transactions included 32 Bitcoin sold between May 26 and May 31. Strategy later sold another 3,588 Bitcoin between June 29 and July 5.
The company now combines Bitcoin sales, MSTR stock sales, and reserve growth to manage preferred dividends and repurchase obligations.
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