Strategy (MSTR) has not bought any bitcoin since June 22, when it bought only 520 BTC for approximately $35 million. Since then, the company has shifted its immediate focus from bitcoin accumulation to strengthening its liquidity position.
During the week ending July 5, Strategy sold 3,588 BTC in two transactions. It sold 1,363 BTC for approximately $80.8 million on June 30, followed by another 2,225 BTC for $135.2 million. The sale generated around $216 million and reduced Strategy’s holdings to 843,775 BTC.
The company said the proceeds would help fund distributions on its preferred stock and replenish the portion of its U.S. dollar reserve used to make those payments. The reserve totaled approximately $2.55 billion after the sale.
On Monday, Strategy increased its US dollar reserve to approximately $3 billion. Based on annual preferred stock dividends and debt interest of about $1.76 billion, the reserve now provides about 20.4 months of coverage.
This liquidity buffer should give strategy enough flexibility to navigate a prolonged bitcoin downturn without being forced to sell significant amounts of bitcoin at lower prices or raise capital in adverse conditions.
