Strategy, the company led by Michael Saylor, has not added to its Bitcoin holdings for three consecutive weeks, according to its latest SEC 8-K filing. Instead, the firm acquired $139.3 million worth of its own STRC preferred stock, focusing recent financial efforts on share repurchases rather than further cryptocurrency accumulation.
Bitcoin holdings remain unchanged
Strategy’s Bitcoin reserves stand at 845,050 BTC, unchanged since the company purchased 4,603 additional Bitcoins for nearly $370 million on August 31. Earlier this year, the company paused Bitcoin acquisitions for a 10-week stretch before resuming in late August.
Publicly available data from Bitcoin Treasuries shows that it cost Strategy about $63.73 billion to assemble its Bitcoin stash, with the average price per Bitcoin at approximately $75,412. At current market value, the firm’s Bitcoin holdings are assessed at about $66 billion.
The company did not liquidate any bitcoins or use its at-the-market equity program in the recent filing period, and its MSTR common stock remained untouched for back-to-back weeks.
Focus shifts to preferred share buybacks
Between September 8 and 13, Strategy repurchased 1,420,467 STRC preferred shares, aiming to bring the share price closer to the $100 par value. On September 13, STRC closed at $98.64, below the par threshold. Management considers any buyback below $100 as immediately accretive since retiring the shares at a discount avoids future dividend obligations.
STRC is a preferred stock instrument that holds seniority over the company’s common shares and is characterized as short-duration “digital credit” backed by Strategy’s cash and Bitcoin. However, holders do not have a direct claim on the underlying Bitcoin.
The company funded its recent buybacks using its USD Cash pool, which is one of its two dollar reserves. As of September 13, Strategy reported a USD Reserve of $5.10 billion, set aside for preferred dividends and debt interest, and $1.30 billion in USD Cash.
| Reserve Type | Amount | Purpose |
|---|---|---|
| USD Reserve | $5.10 billion | Preferred dividends, debt interest |
| USD Cash | $1.30 billion | General use |
Buyback program expansion and future plans
Recently, Strategy’s board approved an increase in its Digital Credit Securities Repurchase Program, doubling the ceiling to $2 billion. The announcement followed a previous week’s buyback of $176.3 million in STRC shares, involving a total of 1,810,885 shares.
As of the latest update, $1.05 billion remains available for preferred share buybacks and $1.0 billion for purchases of MSTR common stock.
On the company’s credit dashboard, Michael Saylor reported that STRC’s “BTC Credit” stood at 57 basis points, with a USD duration of 3.9 years. These numbers assume a 10% annualized bitcoin return, 40% volatility, and a Bitcoin price of $77,266.
Strategy has pursued significant repurchases of its STRC preferred shares, allocating $139.3 million in the recent week while maintaining its sizable Bitcoin holdings at 845,050 BTC.
Industry position remains strong
Strategy continues to rank as the world’s largest corporate holder of Bitcoin, ahead of competitors such as Twenty One Capital, Metaplanet, and MARA Holdings. The most recent closing price for MSTR, the company’s common stock, was $130.97.
Michael Saylor, the founder and executive chairman, continues to lead the firm’s strategy focused on maintaining a large Bitcoin treasury and optimizing shareholder returns through dynamic buybacks.
Mini dictionary: STRC preferred stock, a class of stock issued by Strategy, offers holders a higher claim on assets and earnings than common shares but does not provide direct rights to the company’s Bitcoin reserves. STRC is promoted as a “digital credit” instrument with defined payout and redemption characteristics.
