Strategy, a prominent Bitcoin-focused investment firm led by founder and executive chairman Michael Saylor, did not add to its Bitcoin holdings during the week of October 19 to 25, 2026. According to its filing with the US Securities and Exchange Commission (SEC) dated October 26, the company allocated all its capital that week to repurchasing its own preferred shares rather than acquiring more Bitcoin.
STRC buyback tops capital deployment
Strategy spent $204.9 million to repurchase 2,068,459 shares of its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC). Saylor summarized this transaction on X, confirming the $205 million figure. The buyback marks a continued focus this month on STRC over additional Bitcoin investment.
The company’s Bitcoin reserve remains at 848,517 BTC, with the average dollar cost per Bitcoin holding steady at $75,446. The total value of this Bitcoin reserve stands at $64.02 billion. Strategy did not sell any shares through its at-the-market stock offering program during this period.
Recent weeks have followed a similar pattern, with significant capital allocated to preferred stock repurchases. From October 12 to 18, Strategy spent $193.1 million on STRC buybacks and $22.1 million to purchase 267 BTC. In the previous week, these amounts were $192.4 million for STRC and $21.5 million for 267 BTC.
| Week | STRC Buyback | Bitcoin Purchased |
|---|---|---|
| Oct 19-25, 2026 | $204.9 million | $0 |
| Oct 12-18, 2026 | $193.1 million | $22.1 million (267 BTC) |
| Oct 5-11, 2026 | $192.4 million | $21.5 million (267 BTC) |
Rationale for share repurchases
Strategy President Phong Le has previously stated that buying STRC at prices below $100 per share is an attractive use of capital, as it lowers future preferred dividend payments at a discount. Each share repurchased below face value eliminates a corresponding dividend obligation for the company.
At prices below $100 per share, STRC repurchases represent an attractive allocation of capital because they can reduce future preferred dividend requirements at a discount.
Strategy’s board initially doubled its digital credit securities repurchase program to $2 billion in September and later increased it to $3 billion as of October 19. Following this latest round of repurchases, the company is left with $956.8 million available for further buybacks under the approved allocation. Notably, the separate $1 billion repurchase program for MSTR common stock remains untouched.
The recent STRC buyback was financed entirely from the company’s USD Cash account, which is reserved for general corporate purposes, including potential Bitcoin acquisitions. The balance in this account has decreased from $640.5 million two weeks ago to $242.4 million after the repurchase.
In addition, Strategy holds a USD Reserve account dedicated to servicing preferred dividends and interest on debt, which maintains a balance of $4.83 billion. The combined total of the company’s USD assets is approximately $5.1 billion.
Mini dictionary: STRC is Strategy’s Variable Rate Series A Perpetual Stretch Preferred Stock, a type of preferred share that pays variable dividends and carries special rights compared to common stock. These are often used by companies for flexible capital management and dividend payment obligations.
Saylor has also indicated that, assuming a 10% annual return for Bitcoin, 40% volatility, and an $81,200 Bitcoin price, the company’s USD duration is estimated at 3.4 years while STRC’s Bitcoin credit stands at 54 basis points.
Upcoming decisions and potential index exclusion
On October 28, holders of MSTR common stock will vote on whether Strategy should shift to daily dividend payments for its STRC and other preferred share classes. If approved, daily dividends would commence with the first record date on November 1 and the initial payment on November 2, while keeping the same annual dividend rate.
Strategy also faces external uncertainty as MSCI prepares to publish its November 11 index list. The financial services company is reportedly considering new rules that could remove Strategy and other digital-asset treasury firms from its indices. Both Saylor and Le have criticized this approach as discriminatory but maintain that exclusion would not materially affect Strategy’s core business operations.
