In a bold move that underscores the growing institutional appetite for Bitcoin, Strategy (MSTR), the world’s largest corporate holder of BTC, has acquired an additional 10,100 bitcoins—pushing its total holdings to 592,100 BTC. This latest purchase, valued at approximately $63.3 billion at current market prices, was primarily funded through a high-yield preferred stock offering known as STRD, which raised nearly $1 billion from yield-seeking investors.
The acquisition highlights a strategic shift in how public companies are leveraging financial instruments to expand their digital asset treasuries—without diluting existing equity or relying solely on cash reserves. With Bitcoin trading near $107,000, Strategy’s average entry price now stands at $70,666 per BTC, positioning the firm with a substantial unrealized gain and reinforcing its long-term bullish outlook.
How Strategy Funded Its Massive Bitcoin Buy
To finance this latest wave of Bitcoin accumulation, Strategy successfully completed the issuance of its 10% Series A Perpetual Stride Preferred Stock (STRD). The offering consisted of 11.76 million shares and generated approximately $979.7 million in net proceeds after underwriting fees and associated costs.
Unlike traditional debt or common equity, STRD is structured as a perpetual preferred stock with a fixed annual dividend yield of 10%. This makes it particularly attractive to income-focused investors in a high-interest-rate environment—especially those who also believe in the long-term value appreciation of Bitcoin.
👉 Discover how high-yield investment vehicles are reshaping corporate crypto strategies.
The funds raised were combined with capital from an at-the-market (ATM) share program involving sales of other preferred classes—STRK and STRF—to fully finance the 10,100 BTC purchase. This hybrid funding model allows Strategy to maintain flexibility while aggressively expanding its BTC reserves.
Strategic Implications for Corporate Treasury Management
Strategy’s approach sets a new benchmark for corporate treasury innovation. By issuing yield-bearing instruments tied to confidence in Bitcoin’s future performance, the company effectively turns market optimism into balance sheet growth.
This model could inspire other firms to explore similar paths—using structured financial products to fund digital asset acquisitions rather than selling off core equity or taking on conventional debt. It also reflects a maturing crypto ecosystem where Bitcoin is no longer seen merely as a speculative asset but as a viable long-term store of value—comparable to gold or real estate in institutional portfolios.
Moreover, the success of the STRD offering suggests strong investor demand for hybrid assets that offer both income and exposure to Bitcoin’s upside potential. These instruments may become increasingly popular among pension funds, family offices, and asset managers seeking inflation-resistant assets with predictable returns.
Bitcoin Holdings Now Valued at $63.3 Billion
With 592,100 BTC now secured in its treasury, Strategy holds roughly 2.8% of Bitcoin’s total fixed supply. At a price of $107,000 per coin, the aggregate value of its holdings exceeds $63.3 billion—an impressive feat that cements its dominance in the corporate Bitcoin landscape.
Even more notable is the company’s disciplined acquisition strategy. Despite significant volatility over recent years, Strategy has maintained an average purchase price of just $70,666 per BTC. This means the current portfolio carries a substantial unrealized gain, enhancing shareholder equity and providing strategic leverage for future financing activities.
As Bitcoin continues to gain traction as a macro hedge against monetary expansion and geopolitical uncertainty, firms like Strategy are well-positioned to benefit from both price appreciation and innovative capital-raising mechanisms.
👉 Explore how companies are using Bitcoin as a modern treasury reserve asset.
FAQ: Understanding Strategy’s Bitcoin Strategy and STRD Offering
Q: What is STRD and how does it differ from common stock?
A: STRD refers to Strategy’s 10% Series A Perpetual Stride Preferred Stock. Unlike common shares, STRD offers a fixed 10% annual dividend and has no maturity date. It ranks higher than common stock in liquidation preference but typically does not carry voting rights.
Q: Why did Strategy choose preferred stock instead of debt or equity?
A: Preferred stock like STRD allows Strategy to raise capital without increasing debt burdens or diluting voting control among existing shareholders. The high yield attracts investors seeking stable returns, while aligning them with the company’s long-term vision.
Q: How does holding Bitcoin benefit shareholders?
A: As Bitcoin’s price increases, so does the value of Strategy’s treasury—directly boosting net asset value per share. Additionally, future financings can be backed by BTC holdings, improving creditworthiness and lowering capital costs.
Q: Is Strategy still actively buying Bitcoin?
A: Yes. The company has consistently added BTC to its balance sheet since 2020 and has indicated plans to continue accumulating, funded through innovative instruments like STRD and ATM programs.
Q: What risks are associated with this strategy?
A: The primary risk lies in Bitcoin price volatility. A sustained drop below the average purchase price could impact financing capacity and investor sentiment. Regulatory changes affecting crypto or corporate treasury practices also pose potential challenges.
Q: Can individual investors access similar high-yield opportunities?
A: While retail investors can purchase STRD shares if available, similar high-yield instruments tied to digital assets remain limited. However, platforms offering yield-generating crypto products are expanding rapidly.
The Broader Trend: Corporations Embracing Bitcoin
Strategy is not alone in recognizing Bitcoin’s potential as a treasury asset—but it is undoubtedly the most aggressive adopter. Other companies like MicroStrategy (prior to rebranding), Tesla, and Square have experimented with BTC holdings, though most have since reduced or paused their positions.
Strategy’s continued accumulation signals deep conviction in Bitcoin’s role as "digital gold." Its ability to raise nearly $1 billion through STRD proves that there is robust institutional demand for yield-bearing products linked to digital assets.
As central banks grapple with inflation and currency devaluation concerns, more corporations may follow suit—reallocating portions of their cash reserves into scarce, decentralized assets like Bitcoin.
👉 Learn how global institutions are integrating Bitcoin into financial strategies.
Core Keywords
- Bitcoin treasury
- Strategy MSTR
- STRD preferred stock
- corporate Bitcoin adoption
- high-yield investment
- BTC accumulation
- digital asset financing
- perpetual preferred stock
The convergence of traditional finance and cryptocurrency is accelerating. Strategy’s latest move isn’t just about buying more Bitcoin—it’s about redefining how companies fund growth in the digital age. With nearly $1 billion raised from yield-hungry investors and over half a million BTC secured, the company has set a powerful precedent for innovation in capital markets and corporate strategy alike.