Strategy Halts Bitcoin Purchases, Turns to Stock Sales for Liquidity
The company opted for equity sales over Bitcoin to boost cash reserves.
1Bitcoin Purchases Paused
Strategy Inc., the world's largest corporate Bitcoin holder, has not made any Bitcoin purchases for two weeks. While maintaining its current position of 843,775 BTC, the company turned to stock sales to increase cash reserves. This move aims to mitigate the impact of declining Bitcoin prices.
2Cash Boost Through Stock Sales
Strategy raised $263.5 million in net proceeds by selling 2.73 million shares via its ATM program. These sales increased the company's cash reserves to $3.2 billion. The funds will primarily be used for preferred stock dividends and debt obligations.
3Bitcoin Position Value Declines
The value of Strategy's Bitcoin portfolio has significantly dropped due to market downturns. The company anticipates an $8.32 billion unrealized loss for Q2 2026. While the average Bitcoin acquisition cost was $75,476, recent sales occurred between $59,000 and $61,000 per coin.
4Tax Asset Valuation Impact
The decline in Bitcoin's value has affected Strategy's accounting treatment of tax assets. The company had to record a full valuation allowance against deferred tax benefits, adding pressure to its financial reporting.
5Bitcoin Monetization Program Unused
Strategy has not yet utilized its $1.25 billion Bitcoin sales authorization launched in late June. The program allows additional Bitcoin sales to replenish reserves, but the company is currently prioritizing stock sales to preserve its Bitcoin holdings.
6Implications of Strategic Shift
Strategy's pause on Bitcoin purchases and pivot to stock sales signals a shift from aggressive accumulation to balance-sheet defense. This could weaken its image as a Bitcoin proxy and raise concerns about dividend sustainability if prices remain low.
Original article: DailyCoin — Strategy Bitcoin Alımlarını Durdurdu, Hisse Satışlarına Yöneldi