Bitcoin Treasury Towers Over Cash Buffer Strategy says its Bitcoin reserve can cover approximately 31 years of dividend payments, a figure that sharply contrasts with the coverage offered by
Strategy says its Bitcoin reserve can cover approximately 31 years of dividend payments, a figure that sharply contrasts with the coverage offered by its cash holdings. Chaitanya Jain, head of bitcoin product and investor relations at Strategy, said on July 20 that the company's bitcoin reserve now provides 31 years of dividend coverage, while its U.S. dollar reserve provides 1.8 years.
The U.S. dollar reserve reached $3.225 billion as of July 19, according to a filing with the U.S. Securities and Exchange Commission.The company said the reserve is intended to fund preferred-stock dividends and interest payments on outstanding debt.
Michael Saylor, executive chairman of the firm, confirmed that Strategy now holds a U.S. dollar reserve of $3.225 billion alongside its 843,775 BTC stash. The reserve was lifted after Strategy raised additional cash by selling common stock through its at-the-market equity program.
The update follows Jain's July 13 statement that Strategy's Series C Perpetual Stride Preferred Stock ($STRC) had 20.4 months of cash dividend coverage, indicating the company's liquidity position has continued improving as it has raised additional capital.
The move follows a rare $216 million bitcoin sale, the largest in the company's history, carried out to fund dividends and bolster cash reserves.Strategy was the first public company to adopt Bitcoin as its sole treasury reserve asset and remains the world's largest corporate holder of BTC by a wide margin.
Strategy announced a Digital Credit Capital Framework in June 2026, which includes a USD reserve policy. The board established a minimum reserve equal to at least 12 months of preferred stock dividend payments and interest expense, currently estimated at approximately $1.76 billion annually. The framework also includes a BTC monetization program, permitting targeted Bitcoin sales of up to $1.25 billion. Maintaining dedicated liquidity reduces near-term funding pressure and limits the need to rely on bitcoin sales to meet financial obligations.
Sources:Bitcoin.com News: Strategy Says Bitcoin Reserve Provides 31 Years of Dividend Coverage | CoinDesk: Strategy Raises Cash Reserves to $3.225 Billion | Strategy: Digital Credit Capital Framework Announcement
