Strategy has passed on another Bitcoin purchase, choosing instead to put $139.3 million of cash into its STRC preferred stock. Between Sept. 8 and Sept. 13, the Michael Saylor-founded company
Strategy has passed on another Bitcoin purchase, choosing instead to put $139.3 million of cash into its STRC preferred stock.
Between Sept. 8 and Sept. 13, the Michael Saylor-founded company repurchased 1,420,467 STRC shares while making no purchases or sales of Bitcoin and no sales through its at-the-market stock programs, according to the company's latest update.
That leaves Strategy holding 845,050 BTC, acquired for approximately $63.73 billion at an average price of $75,412 per Bitcoin.
The more interesting story, however, is where Strategy is choosing to deploy its available cash.
Strategy Picks STRC Over More BitcoinThis is not the first week Strategy has made that choice.
During the previous reporting period, the company spent $176.3 million buying back roughly 1.81 million STRC shares and doubled its Digital Credit Securities Repurchase Program from $1 billion to $2 billion.
Coinpaper covered that zero-Bitcoin week and $2 billion buyback expansion as Strategy increasingly prioritized its capital structure over simply adding BTC.
Add the latest $139.3 million, and Strategy has spent more than $315 million on STRC across the past two reporting periods.
There is a reason for that.
Strategy has said it wants STRC to trade around its $100 stated amount and intends to repurchase shares when they trade below that level. Management argues that buying STRC at a discount can reduce future preferred dividend requirements while supporting the security's market price.
Strategy's Bitcoin Treasury Stays at 845,050 BTCThe lack of buying does not mean Strategy has abandoned Bitcoin.
Its 845,050 BTC position still represents more than 4% of Bitcoin's fixed 21 million supply, making Strategy by far one of the most important corporate holders.
But its approach has changed considerably.
We detailed how Strategy sold 6,916 BTC during the summer before buying 4,603 BTC back, showing that Bitcoin is increasingly being managed as part of a broader capital-allocation strategy rather than a one-way accumulation program.
Strategy's framework now permits Bitcoin sales for purposes including rebuilding reserves, funding preferred dividends and repurchasing securities. Strategy
That is a notable evolution from the “never sell” narrative historically associated with Saylor.
Cash Is Becoming More ImportantStrategy also ended Sept. 13 with a $5.10 billion USD Reserve and another $1.30 billion of USD Cash, according to the company update.
The distinction matters. The reserve is intended primarily to cover preferred-stock dividends and debt interest, while USD Cash has broader uses, including Bitcoin purchases and capital management. Strategy used USD Cash for its previous STRC repurchases.
Coinpaper previously examined whether Strategy was building cash before its next Bitcoin purchase. The reserve has since grown substantially, yet STRC buybacks have continued taking priority.
Strategy positionSept. 13Bitcoin holdings845,050 BTCBTC acquisition cost$63.73BAverage BTC cost$75,412Latest STRC repurchase$139.3MSTRC shares repurchased1.42MUSD Reserve$5.10BUSD Cash$1.30BThe key question is therefore no longer simply when Strategy buys Bitcoin again.
It is whether STRC remains the better use of the company's next dollar.
