MicroStrategy Doubles Down on Bitcoin Despite Recent Price Struggles

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MicroStrategy, an endeavor bundle steadfast turned Bitcoin treasury powerhouse, signaled its volition Sunday to deepen its stake connected the flagship integer asset.

This determination comes arsenic the company's monolithic $55 cardinal hoard hovers conscionable supra its mean acquisition price.

In a station connected the societal media level X, Executive Chairman Michael Saylor shared a graphic captioned "More Orange." Over the past months, the billionaire has agelong utilized akin phrases to hint astatine upcoming BTC acquisitions.

Notably, the institution precocious marked a milestone of 2,000 days since adopting its "Bitcoin Standard."

Meanwhile, this imaginable acquisition comes arsenic the firm’s equilibrium expanse faces its astir important trial successful months.

Strategy’s existent holdings of 712,647 BTC were acquired astatine an mean outgo of $76,037 per coin. With BTC trading astatine astir $78,000 connected Sunday—a crisp retracement from the six-figure highs seen past autumn—the firm’s unrealized gains person narrowed to little than 3%.

To money the adjacent signifier of its purchases, Strategy moved to pull caller superior by hiking the dividend connected its Series A Perpetual Stretch Preferred Stock (STRC) by 25 ground points. This accommodation brings the output to 11.25% for February 2026.

The 11.25% payout represents a large premium implicit emblematic firm bonds, reflecting some the company's hunger for superior and the inherent volatility of its bitcoin-centric model.

Notably, STRC is simply a variable-rate information that is portion of a "fixed-income" suite that includes products similar Strike, Stride, and Strife, has go the superior motor for the firm’s superior raises.

Data shows that STRC income unsocial person funded the acquisition of implicit 27,000 BTC since the product’s November debut.

Strategy's Bitcoin Purchases from STRC.

Strategy's Bitcoin Purchases from STRC. Source:STRC.live

However, critics pass that the precocious outgo of servicing these dividends could make a important cash-flow squeeze. This hazard is peculiarly acute if the BTC's terms remains stagnant oregon dips beneath the firm's $76,000 waterline.

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