$MSTR just sold 3,588 BTC and many are calling it the top. But this only represents 0.42% of their total Bitcoin holdings, while the remaining stack is still worth about 179% of the company’s market cap. Panic selling or smart capital management?
Key Takeaways
Strategy sold 3,588 BTC (0.42%) for dividends, while retaining 843,775 BTC; treasury flows now matter.Michael Saylor’s firm used $216M to avoid dilution; future STRC dividend costs remain the key risk.Strategy’s bitcoin still equals about 179% of market cap; investors now watch for more treasury sales.I read it the other way. And once I dug into why the sale happened, it actually made me more comfortable with Strategy.
First, what actually happenedAll of this traces back to one thing, the dividends Strategy now has to pay, and the loudest piece of that is STRC.
STRC in plain terms: it is a perpetual preferred share priced around $100, and it now pays a 12% annual dividend, in cash, twice a month. Strategy nudges the rate a little each month to keep the price pinned near $100, so buyers can treat it almost like a high-yield savings account. A nice deal if you’re the one holding it.
Final thoughtsBuy-and-hold made a great story. But knowing when to manage the balance sheet makes a better business.
