Strategy will sell its Bitcoin holdings as market conditions allow, but will no longer automatically reinvest all capital raised through the issuance of STRC into the cryptocurrency. This announcement was made by the company's CEO, Fong Le, during an investor call discussing the results for the second quarter of 2026.
Our Q2 2026 Earnings Call is LIVE on X: https://t.co/cuSeqcOk7U
— Strategy (@Strategy) July 30, 2026
“After about nine months, we learned the hard way that we cannot let our Bitcoin bulls dictate that all raised capital should be funneled into Bitcoin. We realized that holding dollars makes much more sense,” he admitted.
Previously, all revenue from such placements was directed solely towards purchasing Bitcoin. Now, Strategy plans to decide independently how much capital to maintain in dollar reserves, Le explained. The sale of coins has been described by the executive as a working tool rather than a one-time event.
Quarterly Report
In the second quarter, Strategy reported a net loss of $8.22 billion, a stark contrast to a profit of $10.02 billion during the same period last year. Operating losses reached $8.33 billion, with $8.32 billion attributed to unrealized revaluation of Bitcoin reserves, as the asset's price fell to approximately $58,700 by the end of June.
Strategy announces Q2 2026 results:
— Strategy (@Strategy) July 30, 2026
- Increased $BTC Holdings by 11%
- Reduced Convertible Debt by 18%
- Increased USD Reserve by 12%
- Increased BPS by 5%https://t.co/nfBSJsFjMt
Revenue grew by 6.9% year-over-year to $122.4 million, with a gross profit of $81.6 million, reflecting a margin of 66.6%.
The amount of Bitcoin held by the company rose by 11% to 846,000 BTC (approximately $55 billion). Strategy also continued to increase its dollar reserves, which were valued at $2.4 billion at the end of July, up from $2.1 billion the previous quarter, and by the end of July, this figure grew to $3.75 billion, enough to cover two years of dividend and interest payments.
During the reporting period, the firm also reduced its convertible debt by 18% to $6.7 billion.
Two Transactions and STRC Price Recovery Efforts
Since the beginning of 2026, Strategy has sold Bitcoin worth approximately $218.4 million. The first transaction involved 32 BTC for $2 million, which Le referred to as a test of internal processes and market response. The second transaction was for 3,588 BTC at $216 million, which was allocated for paying dividends on preferred shares in June.
Despite these sales, the company has not ceased being a net buyer, having acquired 174,895 BTC since the year began.
The management has identified the recovery of STRC to its nominal value as a key objective. The stock is currently trading around $89.5, with a target range of $99-100.
It is worth noting that in May, Strategy first allowed the sale of Bitcoin for dividend payments, following a quarterly loss of $12.77 billion. This decision received criticism from analysts at JPMorgan.
Source: Yahoo Finance.