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Strategy Inc. bought 520 BTC for $34.9 million and raised its cash reserve to $1.4 bn, a move that follows a 43% stock slide in June and a $2.7% dip in Bitcoin
Strategy Inc. purchased 520 bitcoin for $34.9 million between June 15‑21, funding the buy entirely through its at‑the‑market (ATM) equity offering and pushing its USD reserve to $1.4 billion [2]. The acquisition comes as the company’s shares have fallen more than 43% in June and Bitcoin slipped 2.7% to around $62,500, raising questions about cash‑flow priorities versus crypto exposure [1].
| At a glance | |
|---|---|
| BTC purchase | 520 BTC for $34.9 M |
| Cash reserve | $1.4 bn (up $300 M) |
| Share price | $79.85 (20% below $100 par) |
| Catalyst | Multi‑week sell‑off, ATM equity raise |
The 8‑K filing shows Strategy raised $335.5 million by selling 2.71 million Class A shares, but only about 10 cents of each dollar went to bitcoin; the bulk was retained as cash [2]. This contrasts with earlier weeks when the company bought over 1,500 BTC each week, indicating a deliberate slowdown in crypto spending while the preferred‑share price trades below its $100 par value. Analyst Julio Moreno warned that buying at cycle tops has generated “rapid unrealized loss growth” and eroded the firm’s fundamentals, noting a $10.6 billion aggregate unrealized loss on its bitcoin holdings [1].
After the latest tranche, Strategy’s bitcoin inventory totals roughly 847,363 BTC acquired at an aggregate cost of $64.1 billion, or about $75,651 per coin [2]. At current spot prices near $54.8 billion, the position carries an unrealized loss of roughly $9.3 billion. The cash reserve now covers about 21 months of preferred‑share dividend and interest obligations, half the $2.8 billion needed for a full two‑year safety buffer [1]. The company retains $25.4 billion of authorized common‑stock capacity for future ATM draws, giving it flexibility to adjust the cash‑vs‑crypto split without new shareholder approval [2].
Shares of Strategy’s preferred stock (STRC) fell to $79.85, a 20% discount to par, and the common stock hit a 52‑week low of $86.62, reflecting investor concern over cash depletion and dividend coverage shrinking from over seven years to just 14 months [1]. Benchmark analyst Mark Palmer noted that when STRC trades near $100, the ATM mechanism efficiently funds new bitcoin purchases; the current discount slows that engine, but does not, in his view, “break” the overall model [1].
The shift toward cash accumulation signals that Strategy is prioritizing liquidity and dividend coverage amid a steep equity decline, while still maintaining a sizable, albeit loss‑making, bitcoin treasury. Whether this represents a temporary tactical pause or a longer‑term rebalancing of its dual‑track strategy remains to be seen.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jun 26, 2026 · How we report
MicroStrategy is a business intelligence company that provides analytics, reporting, data visualizations, and cloud-based services.
The company began purchasing Bitcoin in August 2020, initially spending $250 million followed by a $175 million purchase weeks later.
It used a combination of common stock issuances, convertible debt offerings, and preferred stock sales, raising over a billion dollars without heavily impacting its core operations.
The sale coincided with a near 20% drop in Bitcoin price over the following days, though the immediate reaction to the 32‑BTC sale was modest (~3%).
Deutsche Bank describes Bitcoin as maturing into an institutional asset but notes bearish pressures from fund flows, Fed expectations, and competing risk themes.