How Much Bitcoin Did Strategy Buy?
Strategy has resumed bitcoin purchases after a three-week pause, buying 950 BTC for approximately $75.7 million as the company continues balancing its cryptocurrency treasury against growing cash commitments tied to its preferred stock.
The Michael Saylor-led company acquired the bitcoin between September 14 and September 20 at an average price of $79,670 per coin, including fees and expenses, according to its latest regulatory filing.
The purchase increased Strategy’s holdings to 846,000 BTC, acquired for a total of approximately $63.80 billion at an average cost of $75,416 per coin.
It was Strategy’s first bitcoin acquisition since the week ending August 30, when the company bought 4,603 BTC for $369.7 million at an average price of $80,318. The latest transaction is considerably smaller and was financed from existing USD Cash rather than through new at-the-market share sales.
Strategy did not issue any common or preferred shares under its ATM programs during the latest week. That makes the purchase different from the company’s historical model of raising fresh capital and quickly directing proceeds into bitcoin. Earlier this year, for example, Strategy used MSTR and STRC sales to finance a $2 billion bitcoin purchase.
Why Did Strategy Spend More on STRC Than Bitcoin?
Bitcoin was not Strategy’s largest cash deployment during the week. The company spent $174 million repurchasing 1,771,238 shares of its STRC variable-rate perpetual preferred stock, more than twice the $75.7 million committed to bitcoin.
Both transactions were financed from Strategy’s USD Cash account. Another $57.4 million came from its separate USD Reserve to fund preferred-stock dividends and interest on outstanding debt.
After those payments, Strategy held approximately $5.04 billion in its USD Reserve and $1.05 billion in USD Cash as of September 20.
The allocation reflects how Strategy’s capital structure has changed as its preferred-stock programs have grown. STRC was designed as a perpetual preferred security whose dividend rate can be adjusted in an effort to keep the shares near their $100 stated value. FinanceFeeds previously examined how STRC’s dividend and par-value mechanism interacts with Strategy’s bitcoin strategy.
Strategy still had approximately $875.1 million of authorization remaining for preferred-stock repurchases after the latest transactions.
Investor Takeaway
The return to bitcoin buying is notable, but Strategy’s cash allocation tells a more complicated story. The company spent $75.7 million adding BTC while committing $174 million to STRC repurchases and another $57.4 million to preferred dividends and debt interest. Bitcoin accumulation remains central, but it now competes with increasingly large capital-management obligations.
Why Has Strategy’s Bitcoin Buying Slowed?
The latest purchase follows a period in which Strategy increasingly prioritized liquidity and preferred-stock obligations over continuous bitcoin accumulation.
In August, the company raised more than $2 billion through MSTR share sales during one week without purchasing any bitcoin, directing most of the proceeds toward dollar liquidity. That followed another period in which Strategy raised $333.7 million through MSTR sales but bought no bitcoin.
The company has also shown a willingness to sell bitcoin when required for capital management. During the week ending August 2, Strategy sold 1,638 BTC for approximately $104.7 million and used the proceeds to help fund preferred-stock payments and STRC repurchases.
Those transactions represented a departure from the earlier version of Strategy’s treasury model, in which capital raising was overwhelmingly associated with adding bitcoin. The company now maintains separate pools of dollar liquidity specifically designed to give management more flexibility around dividends, debt service, bitcoin purchases and securities repurchases.
What Does the Latest Purchase Say About Strategy’s Treasury Model?
The 950 BTC purchase shows that Strategy has not abandoned accumulation. At the same time, the relatively modest size of the acquisition and the larger STRC repurchase illustrate that bitcoin is no longer the only major claim on available cash.
Strategy’s cumulative bitcoin position remains enormous at 846,000 BTC, equivalent to just over 4% of bitcoin’s fixed 21 million supply. The company also bought the latest coins at $79,670 each, above its overall average acquisition price of $75,416.
For investors, the next question is therefore not simply whether Strategy continues buying bitcoin. It is how management divides capital among bitcoin, preferred-stock support, dividends, debt obligations and cash reserves as each part of the balance sheet becomes larger.
The latest filing provides a clear example of that trade-off: Strategy is buying bitcoin again, but during the same week it spent substantially more cash supporting its own preferred-stock structure.