In a recent appearance on Bloomberg Crypto, CEO Phong Le of Strategy defended the company’s recent Bitcoin transactions, which included selling 6,916 BTC between late June and mid-August at an average price of approximately $62,200 and purchasing 4,603 BTC last week at an average price of $80,318. Le emphasized that the timing of these moves was strategically planned rather than solely influenced by Bitcoin's market price.
He explained that the sales were necessary to fund STRC dividends during a period when issuing shares became prohibitively expensive. The subsequent Bitcoin purchases were made as MSTR stock began trading at a premium again. Over the past two months, Strategy has seen its assets grow to $72 billion, with cash reserves of around $7 billion, and has eliminated its previous net debt of about $7 billion. This improved financial position enables more favorable equity issuance conditions, facilitating Bitcoin acquisitions.
Le noted that the sold Bitcoin accounted for less than 1% of their total holdings, which have grown between 25% and 30% this year, leaving Strategy with 845,050 BTC valued at around $65.4 billion. He stressed the importance of balancing Bitcoin trading with other financial instruments, stating, "Simply accumulating Bitcoin does not make for a fully operational company. A combination of buying and selling Bitcoin, equities, and preferred shares is critical for our operations."
