Strategy Buys 4,225 Bitcoin for $472.5 Million, Holds 2.8% of Supply

Strategy, the corporate entity formerly known as MicroStrategy, has significantly expanded its Bitcoin holdings. The company announced that it had purchased an additional 4,225 Bitcoin, bringing its total holdings to 601,550 BTC. This latest acquisition was made at an average price of $111,827 per Bitcoin, totaling approximately $472.5 million. With this purchase, Strategy's Bitcoin holdings are now valued at over $73 billion.

This latest move reaffirms Strategy’s long-term commitment to Bitcoin as its core asset. The company's aggressive Bitcoin acquisition strategy has been a cornerstone of its investment philosophy under the leadership of Chairman Michael Saylor. This latest purchase is part of a broader trend of corporate adoption of Bitcoin as a store of value. Strategy's total Bitcoin holdings were acquired for approximately $42.9 billion, representing an average acquisition price of $71,268 per Bitcoin. This strategic move aligns with Saylor's long-term vision of converting yield-bearing capital into hard money, a thesis that has driven the company's investment decisions.

Strategy's financing for these Bitcoin purchases has been innovative. The company has been issuing preferred stock through its at-the-market offering, which has brought in significant capital. These instruments, which trade like stocks and pay dividends, have been a key source of funding for the company's Bitcoin acquisitions. In the latest week alone, Strategy raised nearly half a billion dollars through these sales, which was used to fund the recent Bitcoin purchase.

With the latest price rally, the company is sitting on about $30 billion in unrealized gains. That means Strategy now controls more than 2.8% of Bitcoin’s maximum 21 million supply. This firmly positions it as the largest corporate holder of the asset. Furthermore, the firm said it sold several types of shares to fund its latest Bitcoin purchase. This includes common stock (MSTR) and three types of preferred shares: STRK, STRF, and STRD. Altogether, the Nasdaq-listed firm raised nearly half a billion dollars through these sales.

These share sales are part of Strategy’s bold “42/42” capital plan. The company aims to raise $84 billion through equity and convertible notes to buy more Bitcoin through 2027. This target was doubled from the original “21/21” plan after Strategy used up its earlier equity allocation. Interestingly, the latest crypto purchase came after a brief pause from June 30 to July 6, which matched the timing of Strategy’s second-quarter results. During that period, the firm reported an unrealized gain of $14.05 billion on its Bitcoin holdings. A similar pause occurred in April, around the time of its Q1 report, when the company’s unrealized losses stood at $5.91 billion. Before the current purchase, the U.S.-based firm had acquired 4,980 BTC for $531.9 million between June 23 and June 29.

Strategy's asset-heavy balance sheet and new financing model suggest that the company is well-positioned to continue its Bitcoin accumulation strategy. With Bitcoin recently hitting a record high before settling at a high value, the firm is likely to see significant unrealized gains. A recent change in fair value accounting rules could further amplify the impact of these gains on Strategy's upcoming earnings. This financial maneuvering, combined with the company's strong performance in the crypto markets, indicates that Strategy's momentum in Bitcoin accumulation could continue, especially if the crypto markets remain robust into the year-end.

According to Bitcoin Treasuries, 141 public companies now hold the flagship crypto, with Strategy leading the list. Nevertheless, the top holders also include MARA, Tether-backed Twenty One, Riot Platforms, and Metaplanet. Despite concerns from some investors, Strategy’s premium to net asset value (NAV) continues to grow, now valued at around $118.8 billion. Analysts point to its low debt levels and no payments due until 2028 as signs of financial stability. Strategy’s Bitcoin gains have boosted its MSTR stock. On Friday, the stock closed at $434.58, up by 3%. It is up 2.1% in pre-market trading on Monday. So far in 2025, MSTR has gained nearly 45%, outpacing Bitcoin’s 30.2% rise.