The strategy’s co-founder, Michael Saylor, signaled an impending bitcoin buy on Sunday, posting “think bigger” along with the company’s BTC acquisition tracker, which has preceded all major purchases since 2020.
The company has made 105 bitcoin purchases since it began accumulating in August 2020. Its most recent, on April 6, added 4,871 BTC for $329.8 million. The total holdings are 766,970 BTC acquired at a mixed price of $75,644, about $5,000 above the current market price and representing $14.5 billion in unrealized losses, Strategy disclosed in a first-quarter SEC filing.
MSTR is buying at a pace that dwarfs new tenders. Strategy accumulated 46,233 BTC in March, while miners produced approximately 16,200 BTC, meaning that a single company absorbed nearly three times as much bitcoin as the entire global mining network generated during the same period.
Meanwhile, Saylor also revealed that Strategy’s annual break-even return on its STRC preferred stock product is approximately 2.05%. If bitcoin rises faster than that over time, the company can cover its preferred dividends indefinitely without issuing new MSTR shares.
The figure quantifies both the appeal and the fragility of the financing model. A 2% hurdle is low by historical bitcoin standards, but it assumes that bitcoin never goes sideways or down for an extended period of time while the yield continues to grow.
The STRC is the mechanism that makes the shopping machine run. The preferred stock product saw hundreds of millions in new inflows around its most recent ex-dividend date, providing capital for continued accumulation. The strategy will continue to buy as long as investor appetite for STRC lasts.
Bitcoin traded at $71,800 on Monday, according to CoinDesk data, up 7.9% on the week and holding above $70,000 for the fourth straight day since Iran’s ceasefire was announced.
Whether Saylor’s “think bigger” translates into a purchase big enough to move the market depends on size. With Strategy’s recent pace of 40,000 plus BTC per month, the next filing could push the total holdings past 800,000 by the end of April.
