Strategy (MSTR) Expands Bitcoin Holdings With $204 Million Purchase Funded by Equity and Preferred Stock Sales

Strategy (MSTR), the largest publicly traded corporate holder of bitcoin, acquired 3,015 BTC for approximately $204.1 million last week, funded through a combination of common stock and perpetual preferred stock offerings. The purchase, executed at an average price of $67,700 per bitcoin, increases the company’s total holdings to 720,737 BTC, currently valued at more than $62 billion based on Monday morning trading prices.

According to a Monday filing with the U.S. Securities and Exchange Commission (SEC), the Virginia-based software and bitcoin development company financed the acquisition through approximately $229.9 million raised via common stock sales and $7.1 million in net proceeds from its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC). Bitcoin was trading at approximately $86,000 on Monday morning, placing the company’s total holdings significantly above their aggregate acquisition cost of $54.77 billion. The average purchase price across the entire portfolio now stands at approximately $75,985 per coin.

Funding Structure: Common Equity Dominates Recent Capital Raise

Strategy’s latest bitcoin acquisition was primarily funded through traditional common stock issuance, which accounted for roughly 97% of the approximately $237 million raised during the period.

The company’s at-the-market (ATM) common stock offering program generated $229.9 million, while the STRC preferred stock product contributed $7.1 million in net proceeds. This funding mix indicates the company continues to rely heavily on common equity dilution to finance its bitcoin acquisition strategy, despite recent marketing efforts focused on its preferred stock instrument as an alternative funding source.

STRC Dividend Increases Mark Seventh Adjustment

Concurrent with the bitcoin purchase, Strategy announced an increase in the monthly dividend for its STRC preferred stock to 11.5%, marking the seventh adjustment since the product’s introduction in July 2025.

The company has positioned STRC, which it markets as “digital credit,” as a lower-volatility, high-yield cash instrument designed to attract income-focused investors without further diluting common shareholders. Since inception, Strategy has issued approximately $3.4 billion worth of STRC, anchored by a $2.5 billion initial public offering that was subsequently upsized due to institutional demand.

Corporate Bitcoin Holdings Cross $62 Billion Market Value

With the latest acquisition, Strategy now holds 720,737 bitcoin acquired at a total cost of $54.77 billion. Based on Monday’s trading price of approximately $86,000, the market value of the company’s cryptocurrency holdings exceeds $62 billion, representing an unrealized gain of approximately $7.2 billion.

The company’s average acquisition price of $75,985 per bitcoin remains below current market levels, placing the overall position in positive territory despite recent volatility in digital asset markets.

Frequently Asked Questions

Why is Strategy using both common stock and STRC preferred stock to buy bitcoin?

Strategy employs a dual funding approach to balance shareholder dilution concerns while maintaining access to capital markets. Common stock sales provide immediate, substantial funding but dilute existing shareholders. The STRC preferred stock offers an alternative funding source targeting income-focused investors, though it has represented a smaller portion of recent capital raises—approximately 3% of last week’s total.

What is Strategy’s current average bitcoin purchase price?

Strategy’s aggregate average purchase price across its entire 720,737 BTC holdings is approximately $75,985 per bitcoin, based on total acquisition costs of $54.77 billion. This figure represents the weighted average cost basis for all purchases since the company began acquiring bitcoin in 2020.

How does raising the STRC dividend affect Strategy’s financial obligations?

Increasing the STRC dividend to 11.5% raises the company’s fixed-cost obligations to preferred shareholders. Strategy has accumulated billions in cash reserves specifically to pre-pay these dividend obligations. The dividend adjustments reflect the company’s efforts to maintain the product’s attractiveness to institutional investors seeking yield, particularly as market conditions fluctuate.