Strategy has spent about $214.8 million buying back 2.3 million shares of its STRC preferred stock in roughly three weeks, using a mix of bitcoin sales and common-stock issuance as it tries to lift the security closer to its $100 par value.
STRC traded near $95 on Monday, recovering from a low of about $74 in late June but remaining around 5% below its stated par value. Strategy has also set STRC’s annualized dividend at 12%, adding a higher income payment while repurchases reduce the number of shares available in the market.
The most recent repurchase round was the largest. During the week ended Aug. 9, Strategy bought 1.1 million STRC shares for $108.6 million. Two earlier purchase periods accounted for another $25.0 million and $81.2 million, according to the company’s disclosures.
The buybacks fall under a $1.0 billion authorization for Strategy’s digital credit securities, approved in June. After the latest purchases, the company had $785.2 million remaining under that plan, leaving it with substantial capacity to continue supporting STRC if the market price remains below $100.
Bitcoin sales helped finance the latest purchases
Strategy sold 1,690 BTC during the week ended Aug. 9 at an average price of $64,262, generating $108.6 million—the same amount used for that week’s STRC repurchase. The transaction marked a departure from the company’s long-running approach of steadily expanding its bitcoin treasury through equity and debt issuance.
A week earlier, Strategy sold 1,638 BTC for $104.7 million. It spent $81.2 million buying STRC during that period, while using the remaining proceeds alongside funds raised through common-stock sales.
Across the two weeks, Strategy disposed of 3,328 BTC for approximately $213.3 million and directed $189.8 million toward STRC buybacks. Its bitcoin holdings fell from 842,138 BTC to 840,447 BTC after the latest sale.
Strategy reported an aggregate bitcoin cost basis of $63.36 billion, or an average purchase price of $75,385 per BTC. The company has reduced its bitcoin holdings for four consecutive weeks, selling 6,948 BTC since reaching a June peak of 847,363 BTC.
Those sales remain small compared with the size of Strategy’s overall bitcoin position. Yet they show the company is prepared to treat part of its bitcoin treasury as a source of liquidity when management sees an opportunity to support one of its securities or reinforce its cash reserve.
MSTR issuance added $653 million to cash reserves
Bitcoin sales were not Strategy’s only funding source. During the same week it sold BTC, the company issued 6.5 million shares of MSTR common stock through its at-the-market program, raising $653.1 million.
Strategy allocated $650.0 million of those proceeds to its U.S. dollar reserve account and placed $3.1 million in a general cash account. The dollar reserve rose from $4.0 billion a week earlier to a record $4.65 billion.
Phong Le, Strategy’s president and chief executive officer, said the reserve had grown by nearly $3.8 billion in about two and a half months after the company introduced its capital-management framework in late June. According to Le, both the reserve’s size and its estimated duration had increased more than fivefold during that period.
Michael Saylor, Strategy’s executive chairman, said the latest funding extended the reserve’s estimated duration by 143 days to about 2.7 years. Strategy also has about $2.2 billion remaining under its MSTR at-the-market issuance capacity, alongside a separate $1.0 billion authorization to repurchase common shares that has not yet been used.
The figures place STRC repurchases within a wider balance-sheet strategy rather than presenting them as an isolated intervention. Strategy is increasing dollar liquidity through MSTR issuance while selectively selling bitcoin to fund purchases of preferred stock trading at a discount to par.
The remaining gap to $100 could test the buyback plan
Strategy previously said on its second-quarter earnings call that STRC took about 70 trading days after listing in 2025 to reach $100. Applying that pace to the current recovery suggested a potential return to par around Sept. 8, though market prices are not governed by a fixed timetable.
The remaining discount has narrowed sharply from late June, when STRC traded near $74. At roughly $95, the security would need to gain about $5 per share to reach par, while the 12% annualized dividend may give holders another reason to retain the preferred stock rather than sell it into the market.
Strategy’s unused $785.2 million repurchase authorization gives management room to keep buying if STRC fails to close the gap without further support. The practical question is how much of that authorization would be needed to absorb available selling near $95 to $100.
Further repurchases could be financed from Strategy’s expanding dollar reserve, additional MSTR issuance, bitcoin sales, or a combination of those sources. The company’s recent transactions indicate that bitcoin remains central to its corporate strategy, but its treasury is also being managed as a liquid reserve capable of funding capital-structure decisions when management considers the terms attractive.
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