Strategy has acquired 24,869 BTC for $2.01 billion, holding over 4% of total Bitcoin supply. BitMine also reports significant ETH holdings.
Strategy has made headlines by acquiring 24,869 Bitcoin (BTC) for approximately $2.01 billion, marking a substantial investment in cryptocurrency. This acquisition occurred between May 11 and May 17, with an average purchase price of $80,985 per BTC, according to a report submitted to the SEC.
As of May 17, 2026, Strategy's total BTC holdings have reached 843,738, valued at around $65.3 billion, which constitutes over 4% of Bitcoin's total supply. The average cost per Bitcoin over time stands at $75,700, yielding a paper profit of $1.4 billion.
To finance these acquisitions, Strategy sold common shares of MicroStrategy (MSTR) for $83.7 million and preferred shares of Strategy (STRC) for $1.95 billion. However, the company is currently limited in its ability to conduct further securities sales under existing programs.
In a notable move, on May 14, Strategy decided to repurchase zero-coupon convertible bonds maturing in 2029, with a face value of $1.5 billion, for approximately $1.38 billion. Interestingly, the company has mentioned the possibility of selling Bitcoin as a funding source, which contrasts with CEO Michael Saylor's prior commitment to "pure accumulation" of Bitcoin.
Analysts from K33 highlighted that a strong demand for STRC shares creates ongoing pressure to acquire Bitcoin regularly. To address liquidity concerns, the company has suggested implementing bi-monthly dividend payments for these shares.
AI Models Assess Investment Risks
In a recent audit, analyst Willy Woo utilized AI models Grok and Gemini Pro to evaluate the risks associated with Strategy's yield instrument, STRC. The models concluded that the current yield of 11.5% is insufficient compensation for the risks involved, with Grok suggesting a fair yield range of 17-22% and Gemini advocating for a 16% yield.
Gemini Pro's analysis labeled the existing rate as "significantly overvalued," citing risks from Bitcoin concentration and liquidity concerns. Grok noted the instrument's nature as a "leveraged proxy on Bitcoin dressed as a yield instrument," indicating that market enthusiasm might be driving the current yield rather than actual risk compensation.
BitMine's Growing Crypto Holdings
Meanwhile, BitMine Immersion Technologies has reported holding 5.28 million Ethereum (ETH), which represents 4.37% of the total market supply. The company's total assets have surged to $12.6 billion, comprising $11.5 billion in Ethereum, 202 BTC, stakes in other companies valued at $283 million, and $685 million in cash.
BitMine is recognized as a leader among public companies in Ethereum reserves and ranks second globally in cryptocurrency treasuries, just behind Strategy. Approximately 4.7 million ETH is staked in BitMine's MAVAN service, yielding an annual return of 2.8%, generating about $289 million per year. The company aims to increase its Ethereum holdings to 5% of the total supply.
Chairman Tom Lee noted that the company's growth is driven by institutional interest in blockchain technology and the anticipated passage of the CLARITY Act in the U.S. Senate, which he believes will provide clearer regulations for the industry.
