Strategy Sells Both Bitcoin and Stocks, Raising Over $700 Million in a Week

Strategy (MSTR-US), led by Michael Saylor, continues to adjust its capital structure by simultaneously selling Bitcoin and common stock last week to expand cash reserves and repurchase special shares.

On Monday (the 10th), Strategy announced that during the seven days ending August 9, the company sold $108.6 million worth of Bitcoin and 6.6 million shares of common stock, raising approximately $653 million. It also used $108.6 million to repurchase its special shares, branded as 'Stretch' and designated STRC. Strategy currently holds approximately $58 billion worth of Bitcoin, maintaining its position as the publicly traded company with the largest Bitcoin holdings globally.

Previously renowned for its long-term, large-scale Bitcoin purchases, Strategy has shifted its strategic focus toward capital management amid rising market concerns over its financing model and equity dilution risks. Since late May, the company has cumulatively sold about $432 million worth of Bitcoin, increasing its cash reserves to approximately $4.6 billion.

To alleviate investor concerns about common stock dilution, Saylor had previously attempted to make the issuance of STRC special shares its primary financing source. However, since early May, STRC has failed to sustain its par value of $100, making it difficult for the company to effectively raise funds through this security. The current market price is around $95.

Originally an enterprise software company, Strategy transformed into a Bitcoin accumulator. Michael Saylor, co-founder and executive chairman, once encouraged investors to buy Bitcoin by any means necessary. Now, however, he is consistently selling Bitcoin to strengthen financial resilience, signaling a clear shift in the company's capital strategy.