WirecompaniesDextape brief
Strategy raises $5.4B but barely buys bitcoin
Strategy sold $5.4B of new stock last quarter but spent just $588M of it on BTC, per its own 10-Q.
Dextape brief
Michael Saylor's Strategy issued $5.4 billion in stock between July and September, yet only $588 million went toward bitcoin. That leaves under 11 cents of each dollar raised for bitcoin purchases. The firm says it sells shares through its own ATM program whenever it intends to acquire coins, and because its operations generate little cash, it depends on those sales. It sold 5,552 of its own bitcoin for $348.6 million, using the proceeds for shareholder dividends and repurchases of STRC preferred stock. Those buybacks were costly, since STRC, presented as trading near $100, sat in the $70s and $80s for months, leaving common MSTR holders carrying the cost. Recent data show the decline continuing, with about 40 cents of each dollar buying bitcoin in the week of October 26.
Why it matters: It shows a major corporate bitcoin holder directing a shrinking share of its fundraising away from bitcoin, a trend relevant to readers tracking corporate crypto treasuries.
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