Strategy sells $135M in Bitcoin as $1.25B accumulation plan stays intact

Strategy sold 2,225 Bitcoin for $135.2 million between July 1 and July 5, the company's third and largest-ever BTC sale, while preserving its full $1.25 billion monetization capacity for continued accumulation.

"The balance sheet can tell investors whether Strategy can pay, and the sale begins to show whether it has the willingness to do so," Gabe Selby, Head of Research at CF Benchmarks, said. "For MSTR common shareholders, the sale can look like dilution; for STRC holders, it can look like protection."

The sale at an average price of $60,773 per Bitcoin reduced Strategy's total holdings to 843,775 BTC, worth approximately $52.3 billion as of July 5. The company also sold 1,363 BTC for $80.8 million between June 29 and June 30 at $59,256 per coin, bringing the two-week total to 3,588 BTC worth roughly $216 million. Strategy acquired its entire stack at an average of $74,476 per Bitcoin, representing about $11.4 billion in unrealized losses at current prices.

The proceeds funded distributions on Strategy's preferred stock and replenished the portion of its USD Reserve used for that purpose. The reserve stood at $2.55 billion as of July 5, enough to cover roughly 17 months of the $1.76 billion in annual financing costs, according to CF Benchmarks. The firm's models estimate just a 2.5 percent probability of Bitcoin falling to roughly $23,300, a level at which Strategy's holdings and cash would match its debt and preferred obligations.

The $1.25 billion distinction

The BTC Monetization Program, introduced June 29 as part of Strategy's Digital Credit Capital Framework, caps Bitcoin sales for building the USD Reserve at $1.25 billion. But the program also allows selling Bitcoin for two other purposes: paying preferred dividends and interest, and funding buybacks of preferred shares or MSTR common stock — the latter carrying an additional $2 billion in authorized capacity across two repurchase programs.

VanEck Head of Digital Asset Research Matthew Sigel noted that Bitcoin sold directly to fund dividend payments falls outside the $1.25 billion cap, giving Strategy more selling capacity than the headline figure suggests. The dividend and interest payment bucket carries no disclosed cap.

Active capital management

CEO Phong Le described the framework as reflecting Strategy's evolution "from one-way capital issuance to active capital management." The company now operates as an actively managed vehicle, buying and selling pieces of its own capital structure to manage pressure between common stock, preferred shares, the reserve and Bitcoin itself.

MSTR has fallen roughly 79 percent from its summer 2025 peak, with an enterprise market value-to-net asset value ratio of 1.07, according to the company. STRC, which had been a primary driver of Bitcoin acquisitions earlier this year, has traded below par since mid-May and has not been used to accumulate additional Bitcoin for several weeks.

CF Benchmarks' Selby said the concern for investors is not whether Strategy will run out of assets, but how management chooses to use them. "The concern begins when selling Bitcoin stops being a choice and becomes a recurring requirement for maintaining the capital structure," he said.

This article is for informational purposes only and does not constitute investment advice.