Strategy Pauses Bitcoin Buying Amid 1405% Unrealized Gain

In the second quarter of 2025, Strategy, the world’s largest corporate holder of Bitcoin, reported a significant unrealized gain of $14.05 billion on its digital asset holdings. This figure was accompanied by a deferred tax expense of $4.04 billion, as disclosed in a filing with the US Securities and Exchange Commission. As of June 30, 2025, the company's digital asset carrying value stood at $64.36 billion, with a related deferred tax liability of $6.31 billion.

Despite these substantial gains, Strategy made a notable decision to pause its Bitcoin buying spree. The company's Bitcoin holdings remained at 597,325 BTC following its recent purchase of 4,980 BTC. This marked the first time since April 2025 that Strategy skipped a weekly Bitcoin purchase. The decision came as Bitcoin prices fell to $105,400 on July 3, 2025, before briefly surging above $110,000. Previously, Strategy had paused acquisitions when Bitcoin prices fell below $87,000.

Strategy’s decision to skip Bitcoin purchases can be attributed to several factors. The cryptocurrency market's inherent volatility poses a significant risk to investors. Bitcoin, in particular, has a history of sharp price swings, which can lead to substantial gains or losses in a short period. By avoiding Bitcoin, Strategy aims to mitigate these risks and maintain a more stable portfolio. Additionally, the company's focus on unrealized gains suggests a conservative approach to investment. Unrealized gains refer to the increase in the value of an investment that has not yet been sold. By reporting $14 billion in unrealized gains, Strategy demonstrates a cautious approach to realizing these profits, preferring to hold onto investments until market conditions are more favorable.

Strategy’s decision to skip Bitcoin purchases also reflects a broader trend in the investment community. Many investors are increasingly wary of the cryptocurrency market's volatility and are opting for more traditional investment options. This trend is evident in Strategy's focus on unrealized gains, which indicates a preference for long-term investments over short-term speculative gains. The newly released official figures are slightly above the estimations by analysts, who last week projected the company to report at least $13 billion in unrealized gains for the second quarter of 2025.