Summary
- Strategy disposed of 1,638 BTC for $104.7 million in the week ending August 2, leaving it with 842,138 BTC.
- Proceeds were split evenly between preferred dividends and an $81 million share buyback.
- Since June, the company has refrained from purchasing Bitcoin.
In an 8-K filing on Monday, Strategy revealed it sold 1,638 BTC for $104.7 million during the week ending August 2, reducing its Bitcoin holdings from 843,775 to 842,138 BTC. The average sale price was $63,957 per coin after fees.
Following these transactions, Strategy's overall cost basis stands at $63.51 billion, averaging $75,419 per Bitcoin—an increase of $11,462 compared to the price of this week's sold coins.
Of the funds raised, $52.4 million was allocated to preferred stock dividends, while $52.3 million was utilized for repurchasing STRC shares.
The buyback totaled $81.2 million, equivalent to 912,143 STRC shares, with the remaining $28.9 million sourced from common stock sales. This marks Strategy's second buyback under a $1 billion program initiated on June 29, following an initial $25 million purchase last week, leaving $893.8 million still authorized for future buybacks.
According to the company, these recent actions have extended its USD duration by 57 days to 2.3 years and narrowed STRC's Bitcoin credit spread by five basis points. Strategy will maintain its STRC dividend rate at 12% annually, with semi-monthly payments of $0.50 per share. In July, the company revamped its investor metrics, placing "net Bitcoin per share" at the forefront, representing the Bitcoin remaining for common shareholders after accounting for debt and preferred claims.
Strategy increased its USD Reserve by $250M and repurchased $81M of $STRC. This increased USD Duration by 57 days to 2.3 years and tightened STRC’s BTC Credit by 5 bps. As of 8/2/26, we hold ₿842,138 in our BTC Reserve and $4.0B in our USD Reserve. $MSTRhttps://t.co/zzra7RL5Zg
— Strategy (@Strategy) August 3, 2026
Understanding Strategy’s Financial Approach
Strategy altered its long-standing "never sell" policy at the end of May, when it sold 32 BTC for $2.5 million at an average price of $77,135 to cover preferred distributions. This marked the firm’s first Bitcoin sale since December 2022, when it offloaded 704 BTC for tax-loss harvesting, only to repurchase 810 BTC two days later.
A new capital framework introduced in June outlines the conditions under which the company may sell Bitcoin, allowing for disposals up to $1.25 billion. In July alone, Strategy sold $216 million worth of BTC, and with this week's $104.7 million, it has utilized $321 million of this allowance, excluding the earlier 32 BTC sale made before establishing the framework.
Since June, the company has not acquired additional Bitcoin, instead increasing its USD reserve to $4 billion to meet $1.76 billion in annual dividend obligations, primarily through MSTR share sales. Last week, it sold 3,011,361 shares for a net of $290.6 million, with $250 million directed into the reserve.
The firm now holds 5,225 BTC less than its peak of 847,363 BTC recorded in June, reflecting a 0.6% decrease. As of Monday, Bitcoin was trading around $62,600, down 1% for the day, according to data from CoinGecko. On Myriad, a prediction market operated by Decrypt's parent company Dastan, users currently estimate a 6% chance that Strategy will hold over 1 million BTC by 2027, down from 12% just a week ago.