Strategy has increased its Bitcoin holdings to a record 847,666 BTC after acquiring 1,665 coins for $142.7 million between September 21 and September 27. The purchase, executed at an average price of $85,681 per coin, was funded by proceeds from the sale of 1.47 million MSTR common shares, which generated $246.2 million in net proceeds. This transaction surpasses the company's previous record of 847,363 BTC reported in June, marking a resumption of accumulation after Strategy sold 6,948 BTC during the summer months.
Concurrently, Strategy repurchased 1.53 million shares of its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) for $151.7 million. The company utilized $103.5 million from the recent equity offering and $48.1 million from its USD Cash reserve for these buybacks. As of September 27, Strategy holds $6.02 billion in USD assets, comprising a $5.02 billion USD Reserve and $1 billion in USD Cash. The firm also paid $22.1 million from its USD Reserve to cover preferred-stock dividends, maintaining its capital allocation strategy that balances Bitcoin accumulation with debt service and share repurchases.
The simultaneous execution of Bitcoin accumulation and preferred stock buybacks illustrates Strategy’s dual mandate of asset growth and liability management. By leveraging its at-the-market equity program to fund both digital asset purchases and STRC repurchases, the company is actively managing its capital structure while expanding its balance sheet exposure to Bitcoin. The decision to buy back preferred stock trading below its stated amount suggests a strategic effort to optimize cost of capital and reduce dilution risks associated with fixed-income instruments, even as it continues to issue common equity to finance crypto acquisitions.
Market participants should monitor the sustainability of this funding model, particularly given the significant cash reserves now held alongside the record Bitcoin position. The $6.02 billion in USD assets provides a buffer for dividend obligations and operational flexibility, yet the reliance on continuous equity issuance to drive Bitcoin purchases remains a central feature of the company’s financial architecture. The shift from summer selling to renewed buying indicates a recalibrated approach to market timing, potentially signaling confidence in current valuation levels or a strategic pivot toward long-term holding stability.
