Strategy Buys 811 BTC for $65.5 Million

Strategy bought 811 BTC for about $65.5 million between Oct. 26 and Nov. 1, at an average price of $80,846 per bitcoin, according to an SEC filing. Its holdings now total 849,327 BTC, acquired for about $64.1 billion at an average cost of $75,451 per bitcoin. The stash represents more than 4% of Bitcoin's capped supply.

The purchase followed a one-week pause in acquisitions. Strategy funded it with proceeds from at-the-market sales of its Class A common stock, selling 1,178,552 MSTR shares for approximately $164 million during the period. The company said $18.62 billion of shares remained available for issuance and sale under the program.

Why it matters

The filing shows Strategy continuing to use equity issuance to expand its bitcoin treasury while managing other financing obligations. It also repurchased nearly 2.1 million STRC preferred shares for about $208.2 million using its USD Cash reserve, and drew $43.4 million from its USD Reserve to fund preferred-stock dividends. As of Nov. 1, those balances stood at $132.7 million and $4.79 billion, respectively.

Strategy reported $19.5 billion in third-quarter net income, compared with $2.79 billion a year earlier, including a $20.9 billion gain from the rising value of its bitcoin holdings. The company also said its preferred shareholders approved a change allowing dividends to accrue daily rather than fortnightly, with 99.3% of votes cast in favor. StoneX and TD Cowen analysts said stabilized preferred-stock financing and improved liquidity put the company in a stronger position to buy more bitcoin.

Market impact

The purchase adds to Strategy's position as the largest public-company bitcoin treasury. Its scale makes the pace and funding of future acquisitions relevant to investors tracking institutional BTC demand and MSTR share issuance.

The latest buying came as MSTR shares fell 9.6% last week to close at $130.51 on Friday. Bitcoin declined 3.6% over the same period. The filing gives investors a fresh view of Strategy's accumulation, cash reserves and financing activity, but does not change the fact that its reported net income was strongly affected by bitcoin's valuation gain.