Strategy bought 250 Bitcoin for $21.5 million between Monday and Sunday. Its holdings now stand at 848,250 BTC. It is the second straight week of smaller purchases, down from 334 BTC the week
Strategy bought 250 Bitcoin for $21.5 million between Monday and Sunday. Its holdings now stand at 848,250 BTC. It is the second straight week of smaller purchases, down from 334 BTC the week before.
The company paid for $21 million of the purchase by selling common stock. It covered the remaining $500,000 with cash. At the same time, it spent $192.4 million buying back its STRC preferred stock, up from $176.3 million a week earlier.
That buyback spending was nearly nine times the Bitcoin budget. The company holds a $4.88 billion US Reserve to cover preferred dividends and debt interest. Its separate USD cash balance was $640.5 million on Sunday.
Founder Michael Saylor hinted at the buy on Sunday with the post “There’s always room for more orange.” The SEC filing is delayed because the agency is closed for the Columbus Day holiday. MSTR was up less than 1% before the open. STRC was set to open at $99.68.
Strategy began buying Bitcoin in August 2020. For years the formula was simple. It raised money by selling stock or issuing convertible debt and put nearly all of it into BTC.
In 2025 the company added preferred stocks to the mix. These include STRF, STRK, STRD and STRC. Each pays holders a fixed or variable dividend, and each raised billions for Bitcoin purchases.
The pace stayed high into 2026. Strategy held 818,334 BTC on May 3, which was 22% growth since the start of the year. Its first quarter report said it had raised $5.6 billion through STRC alone. It called Bitcoin conditions a bear market.
The price decline turned the preferred stock into a cost to manage. By mid-2026 Strategy owed about $15.5 billion in preferred stock and $6.7 billion in convertible notes. Dividends and interest had to be paid whatever Bitcoin did.
In May, Strategy said it would proactively manage its convertible debt. That included the disciplined sale of Bitcoin. It sold about 1,395 BTC in the second quarter and bought back part of its convertible debt.
In the second quarter, it still acquired 85,296 BTC. That lifted holdings to roughly 846,000 BTC. The CFO said the company strengthened its balance sheet through a meaningful price decline.
Third quarter looked different. Strategy acquired 7,218 BTC but sold 5,553 BTC, so holdings rose only 0.2%. The net gain was 1,666 BTC, worth about $143 million. Over the same quarter it spent about $1.38 billion on STRC repurchases.
One sale drew attention in August. Between July 27 and August 2, Strategy sold 1,638 BTC for $104.7 million. It also raised $290.6 million from MSTR stock, and none of the roughly $395 million went into new Bitcoin. Its 2026 sales reached 5,258 BTC then, the largest annual total since 2020.
STRC is a floating-rate preferred stock designed to trade near its $100 stated amount. When it trades below that level, the company can buy shares at a discount. It also reduces future dividend obligations. STRC traded at $99.45 on October 5 and was set to open at $99.68 on Monday.
The company reported a $20.91 billion gain on digital assets for the third quarter. This reflects the fair value of its existing Bitcoin, not new buying. It also booked a deferred tax expense of $1.88 billion. Digital assets carried a value of $70.82 billion on September 30.
Prices matter here. Saylor’s October 5 update used a Bitcoin price of $84,289. This week’s purchase works out to about $86,000 per coin, so the average buy price is close to market.
The case for the strategy is straightforward. Strategy says it has never missed a dividend in 18 months of payments, despite a deep drawdown. It also cut convertible debt by 18% in the second quarter and raised its reserve. A larger cash cushion lowers the chance of a forced sale of Bitcoin.
The case against is just as direct. A company known for relentless buying is now selling Bitcoin in some weeks and raising money mainly to service obligations. Critics such as Peter Schiff argue that preferred holders are being prioritized over common shareholders.
Dilution adds to the concern. Selling MSTR stock to buy small amounts of Bitcoin means more shares without much more BTC. Strategy said in its quarterly filing that some stock proceeds went to dividends and interest. Those sales raised the share count without adding Bitcoin.
For Bitcoin itself, the largest institutional holder is no longer a steady source of demand. Its 848,250 BTC remain intact, and at this pace it adds only a few hundred coins a week. The next filings will show whether purchases recover or sales return.
