Strategy buys 811 Bitcoin for $65.5M, repurchases $208.2M in preferred shares

Strategy has filed a weekly Form 8-K disclosing bitcoin purchases and capital moves since it began converting its balance sheet to bitcoin in 2020. STRC, its yield-bearing preferred stock, was introduced as a separate funding tool alongside the bitcoin accumulation strategy. The company had paused bitcoin buying for one week before this latest batch, and its holdings now stand at 849,327 BTC, equal to roughly 4.04% of bitcoin's maximum supply.

STRC holders benefit from a buyer willing to support the preferred shares with real cash, while MSTR shareholders absorbed further dilution after Strategy sold 1.18 million shares to raise $164 million. Anyone tracking Strategy as a bitcoin proxy now has to parse two competing flows each week: new coin added to the balance sheet versus cash spent defending a separate security, rather than a single clean accumulation number.

Spending $208.2 million on STRC buybacks against $65.5 million on bitcoin, more than triple, cut Strategy's USD cash balance to $132.7 million and raises an uncomfortable question for a company whose entire premise is bitcoin accumulation: is it still primarily a treasury vehicle, or increasingly a capital-structure manager defending its own preferred stock. Both can be true, but the balance has visibly shifted this quarter.

STRC's approach toward Strategy's own $100 target price is the figure to watch next, since further gains could reduce the urgency of buybacks and free more cash for bitcoin purchases in coming 8-Ks. A reversal, where STRC buybacks again outpace bitcoin spending in the following week's filing, would confirm the balance-sheet-management reading rather than a temporary cash-management choice.