Strategy sells 3,588 Bitcoin for $216 million, shares slip 2%

Strategy sold 3,588 Bitcoin for roughly $216 million last week, a ten‑fold increase over its May disposal, and used the cash to replenish its $2.55 billion dollar reserve and pay quarterly dividends on its preferred securities [1].

Why the sale mattered

The disposal was executed at an average price of about $60,000 per coin, well below Strategy’s historic cost basis of roughly $75,500 per BTC (acquired for $63.69 billion total) [1]. The company said the proceeds will fund distributions on its five preferred instruments (STRF, STRE, STRK, STRD, STRC) and top up the portion of its U.S. dollar reserve used for those payments [1][2]. With a dividend load estimated at $1.5 billion annually, cash needs have outpaced the cash generated by Strategy’s software business, forcing the firm to tap its Bitcoin treasury [2].

The sale follows a May transaction of 32 BTC for about $2.5 million, the first disposal since 2022, and comes after a period of aggressive accumulation—including a $2 billion purchase in May and a $2.54 billion purchase in April [2]. The contrast highlights Strategy’s “dual‑track” approach: raising capital through equity and debt offerings while using Bitcoin as a back‑stop when cash reserves tighten.

Market reaction

MSTR shares opened 2 % lower in pre‑market trading, and Bitcoin slipped to $61,900 from $62,900, erasing most of its weekend gain [1]. No shares were sold under the company’s at‑the‑market program during the week, and no buybacks were executed, leaving the full $1.25 billion capacity of the recently announced BTC Monetization Program untouched [1].

What to watch

• Bitcoin price around $60,000 – a level that could trigger further sales if the price stays near the average sale price of the latest disposal.
• Preferred‑stock dividend schedule – quarterly payouts on STRF, STRE, STRK, STRD and semi‑monthly payments on STRC will continue to drive cash demand.
• Future BTC Monetization Program usage – any activation of the remaining $1.25 billion capacity would signal additional Bitcoin sales or purchases.

The July sale underscores how Strategy’s dividend obligations now directly shape its Bitcoin treasury, turning the cryptocurrency from a long‑term store of value into a short‑term liquidity source whenever cash reserves tighten. Whether the firm will resume buying or continue selling will hinge on market access for its preferred securities and the trajectory of Bitcoin’s price.