The first metric is the new “Net Reserve” which currently stands at $36.6 billion. That figure takes Strategy’s $55.6 billion BTC reserve (843,775 BTC), adds $3.2 billion in USD reserves and then subtracts $6.8 billion in out-of-the-money convertible debt and $15.5 billion in notional preferred, the $22.3 billion in senior claims that rank ahead of common shareholders in any liquidation scenario.
The company has also updated its multiple to net asset value (mNAV) formula. Under the old accounting method, the accretion threshold would normally keep the company’s mNAV above 1.0x, making it increasingly difficult to know whether new share issues were actually beneficial to existing owners. The new formula permanently anchors this threshold at 1.0x – if MSTR trades above it, issuing new shares adds BTC per share for all investors.
According to the company, the formula is: MSTR Price, divided by Net Bitcoin Per Share, which represents whether MSTR trades above or below Net Bitcoin Per Share by debt and preferred claims.
BTC Floor ARR is the minimum sustained BTC growth over the duration of the credit structure before restructuring becomes a consideration for the company. Currently, the BTC Breakeven ARR is at 3.22%, meaning that bitcoin only needs to increase faster than this rate annually for the Strategy to fund all interest and dividend obligations through BTC gains alone, in perpetuity.
The strategy has also introduced new bitcoin market metrics, such as the premium to the 200-week moving average and the Fear and Greed Index.
