TYSONS CORNER, Virginia, June 29, 2026, 10:03 (EDT)
- Strategy bumped its reported USD reserve to around $2.55 billion and cleared as much as $1.25 billion in bitcoin sales for more cash backing.
- Total cash plus bitcoin-sale capability amounts to around $3.80 billion, which covers roughly 25.9 months of preferred dividends and interest at the current $1.76 billion yearly pace.
- Strategy’s class A shares jumped 3.3% to $85.03 in early Monday Nasdaq trading. Its Stretch preferred NASDAQ:STRC added 5.2% to $78.48, still trading far under the company’s $99-$100 target.
Strategy Inc NASDAQ:MSTR said Monday it could sell bitcoin to help pay dividends, interest, or buy back shares. The move would make some of Michael Saylor’s bitcoin stash an official liquidity reserve. The company’s market cap recently dipped below the value of its bitcoin holdings.
Strategy’s Digital Credit Capital Framework now sets a board-approved dollar reserve and raises the dividend on its variable-rate Stretch preferred stock NASDAQ:STRC to 12%. The company also authorized $1 billion for preferred repurchases and $1 billion for common-stock buybacks. The plan lets the firm monetize bitcoin for specific uses.
The reserve calculation is basically what investors are watching. Strategy had $871 million in USD reserves as of May 25, then $1.4 billion on June 21, and jumped to roughly $2.55 billion by June 28. That latest figure includes expected, but not yet settled, proceeds from at-the-market stock sales. With a disclosed $1.76 billion annual bill for preferred dividends and interest, pure cash coverage stretched from about 5.9 months in late May to 17.4 months now.
| Date | USD reserve | Approx. coverage at $1.76 bln annual burden | What changed |
|---|---|---|---|
| May 25 | $871 mln | 5.9 months | Debt buyback and capital structure shift |
| June 21 | $1.40 bln | 9.5 months | Cash raised from $335.5 mln MSTR ATM deal |
| June 28 | $2.55 bln | 17.4 months | Board set new reserve policy |
| June 28 plus authorized BTC reserve sale | $3.80 bln | 25.9 months | Reflects up to $1.25 bln BTC sale greenlit |
Strategy’s mNAV, or enterprise value to bitcoin reserve ratio, was 0.99 at the last close, Reuters said. That’s the first time the company’s enterprise value landed below its bitcoin holdings. Strategy’s mNAV is enterprise value divided by BTC Reserve. It isn’t the same as net asset value.
When the stock was trading well above the value of bitcoin it held, Strategy would sell more shares and use the money to buy more bitcoin, a move it called accretive. Now that the price is near 1x mNAV, the company says it plans to be more careful with new share sales. Under the new plan, management can also just sell some bitcoin straight, instead of pushing out more stock at lower prices.
| Tool | Size or rate | Investor read-through |
|---|---|---|
| USD reserve | $2.55 bln | Board approval is needed to use this cash for anything other than preferred dividends and debt interest |
| Minimum reserve policy | 12 months | Fresh base level for liquidity protection |
| STRC dividend | 12.00% from July record dates | Trying to bring STRC closer to its $100 par |
| Digital Credit buyback | Up to $1 bln | Repurchase program covers STRC, Strife NASDAQ:STRF, Stride NASDAQ:STRD and Strike NASDAQ:STRK |
| MSTR buyback | Up to $1 bln | Lets management step in and buy common shares when it thinks it’s cheap enough |
| BTC monetization | Up to $1.25 bln for reserve, plus other uses with board signoff | Allows bitcoin to be sold for cash or buybacks |
With bitcoin trading at $59,367 on Monday, the $1.25 billion the company can use to buy more is about 21,100 bitcoin. That works out to 2.5% of Strategy’s most recent bitcoin stash of 847,363 coins. Bitcoin now trades below the firm’s average purchase price of $75,651. Any timing on a possible sale matters for shareholders.
Strategy began adding to its cash before Monday. In the week ending June 21, it sold 2.7 million common shares and took in $335.5 million but used just $34.9 million of that to buy 520 bitcoin, which is under 11% of the share-sale haul. Its USD reserve is now $1.4 billion.
Saylor said bitcoin is still the company’s main treasury reserve, but he said digital credit needs “liquidity, discipline, and active capital management.” CEO Phong Le called it a shift from “one-way capital issuance to active capital management.” CFO Andrew Kang said, “Bitcoin is capital.” Business Wire
Preferreds are where the strain is showing. STRC was at $78.48 in the morning after a bounce on Monday, well under Strategy’s $99-$100 target. Strategy’s STRC page notes the 12% dividend can change monthly and isn’t guaranteed.
Nic Puckrin, who runs Coin Bureau and covers cross-asset analysis, told Reuters the plan looks like a “responsible move” and said the market saw it as a positive step. Andrei Grachev at DWF Labs told Reuters that after the mNAV break, the company has two options—sell bitcoin or accept a lower share price that could draw buyers. “Uncertainty itself becomes a reason to wait,” Grachev said to Reuters. Reuters
Strategy unloaded 32 bitcoin from May 26 to May 31, bringing in $2.5 million at an average price of $77,135. The cash will go to fund preferred-stock payouts. The sale was minor compared to the company’s total holdings, but it challenged the long-held market view that the company would stick to buying and holding.
