Bitcoin News: Strategy Adds $525M to Reserve and Maintains 843,775 BTC Holdings

Strategy increased its U.S. dollar reserve by $525 million to $3.75 billion, according to its July 27 Form 8-K. The company maintained its Bitcoin holdings at 843,775 BTC while using proceeds from common-stock sales to strengthen liquidity and continue preferred-share repurchases.

Strategy Expands USD Reserve to $3.75 Billion

Strategy raised its cash reserve from $3.225 billion to $3.75 billion during the week ending July 26. The company uses the reserve to support preferred stock dividends and interest payments on outstanding debt. Michael Saylor confirmed the $525 million increase and cited the expanded 2.1-year payment coverage.

The larger reserve gives Strategy more cash for obligations without requiring immediate Bitcoin sales. The company continues to hold Bitcoin as its main treasury asset while building a liquidity buffer. This structure allows Strategy to manage dollar expenses while keeping its Bitcoin position unchanged during volatile market periods.

Bitcoin Holdings Remain at 843,775 BTC

Strategy reported no Bitcoin purchases or sales between July 20 and July 26. The pause marked the company’s fifth straight week without adding to its holdings. Strategy last purchased 520 BTC on June 22 before shifting more attention toward cash reserve growth.

The company acquired its 843,775 BTC for about $63.69 billion, including fees and expenses. Its average purchase price stands at $75,476 per Bitcoin. Saylor shared a tracker that valued the holdings near $54.36 billion on July 26. That valuation placed the paper loss near $9.47 billion.

Strategy still controls more than 4% of Bitcoin’s 21 million supply. The company has not reduced its position despite the lower market value.

MSTR Share Sales Fund Cash Growth

Strategy sold 5,429,160 MSTR common shares through its at-the-market program during the reporting week. Those sales generated $544.5 million in net proceeds. The company sold no preferred shares through its ATM programs during the same period.

Strategy also repurchased 288,930 STRC preferred shares for $25 million. It bought no STRF, STRK, or STRD shares during the week. The company retained $975 million under its digital credit securities repurchase program after completing the STRC transaction.

The MSTR common stock repurchase program still holds $1 billion in available capacity. Strategy made no common stock repurchases during the week. Its remaining ATM capacity included $22.98 billion for MSTR and $17.51 billion for STRC.

Peter Schiff Questions Strategy’s Bitcoin Yield

Peter Schiff argued that Strategy’s Bitcoin yield could turn negative before the end of 2026. He said the company’s model may lose appeal if MSTR stops increasing Bitcoin exposure per share. Schiff also questioned why investors should accept corporate risk when they can buy Bitcoin directly.

Strategy’s Bitcoin yield fell from 13.3% to 4.5% within two months. Schiff used that decline to challenge the company’s capital strategy and its value proposition for shareholders. His comments followed an MSTR price move after Strategy announced the larger dollar reserve.

Some market participants view the reserve as protection for preferred dividends and other dollar obligations. Strategy can use cash for those payments while keeping Bitcoin as a long-term treasury holding. The company also supported STRC through its $25 million repurchase during the reporting period.

This article is for informational purposes only and does not constitute financial or investment advice.