CoinDesk
Strategy (MSTR) lifted its cash reserve to $3.75 billion this week after raising $544.5 million through sales of more than 5.4 million shares of common stock, per an SEC filing Monday. A $25 million slice of the proceeds went to repurchase 288,930 shares of its high-yielding preferred stock STRC. The company made no changes to its bitcoin holdings, which remain at 843,775 coins.
Executive Chairman Michael Saylor framed the cash pile as enough to cover 2.1 years of preferred stock dividends, the metric the market watches closest when MSTR leans into equity issuance at scale. MSTR and STRC were each up about 2.5% pre-market as bitcoin rose toward $65,000 over the weekend.
Why it matters
The cadence matters more than the headline number. Strategy has spent the past year using at-the-market share sales to fund both BTC accumulation and preferred-stock dividend coverage, and the $3.75 billion buffer signals the company is comfortable with that flywheel for now. The STRC buyback is the smaller beat in dollars but the more pointed signal: management is willing to retire preferred equity at a premium when the yield-versus-coverage math favors it.
Market impact
Bitcoin sitting flat at 843,775 coins removes one of the more reliable flow narratives for the asset and shifts the MSTR trade back to a balance-sheet story. For STRC holders, the buyback tightens float and reinforces the dividend-coverage framing Saylor has pushed since the preferred launched. The next read is whether the $544.5 million raise continues into Q4 or if the $3.75 billion war chest marks a pause in issuance.
Frequently asked questions
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How much cash does Strategy hold after the latest raise?
Strategy lifted its cash reserve to $3.75 billion after raising $544.5 million via sales of more than 5.4 million shares of common stock, per an SEC filing.
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How many years of STRC dividends does the cash cover?
Executive Chairman Michael Saylor said the $3.75 billion reserve is enough for 2.1 years of preferred-stock dividend coverage.
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How much STRC did Strategy repurchase?
Strategy used $25 million of the proceeds to buy back 288,930 shares of its high-yielding preferred stock STRC.
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Did Strategy add to its bitcoin holdings this week?
No. The company made no changes to its bitcoin holdings, which remain at 843,775 coins.
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How did MSTR and STRC react in pre-market trading?
MSTR and STRC were each up about 2.5% pre-market as bitcoin rose toward $65,000 over the weekend.
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