Strategy Raises $4.2 Billion for Bitcoin Purchases via STRD Stock Sale

Strategy, a prominent Bitcoin investment firm, has announced plans to raise $4.2 billion through the sale of its 10.00% Series A Perpetual Stride Preferred Stock (STRD), which trades on Nasdaq. The proceeds from this at-the-market (ATM) offering will be used to fund new Bitcoin purchases, pay dividends on other preferred shares, and support the company's operations. The stock pays a 10% dividend, has priority over other stocks in liquidations, and has no fixed maturity rate. This move comes after a brief pause in Bitcoin purchases, marking the first week since early April that Strategy did not acquire any Bitcoin.

The latest fundraising effort follows a previous capital raise on June 10, where Strategy secured $979.7 million through an underwritten public offering. This time, the company is opting for an ATM offering to sell shares over time at their market price, aiming to avoid a large supply shock that could negatively impact the stock's price. Strategy has already amassed 597,325 bitcoins, valued at $64.4 billion, with an unrealized profit of $22 billion. The company's Bitcoin holdings represent nearly 3% of the total supply, making it the largest corporate holder of the cryptocurrency.

Strategy's decision to raise funds through the sale of STRD shares aligns with its long-term vision of integrating Bitcoin into its corporate treasury. By leveraging the ATM program, the company can efficiently manage its cash flow and invest in Bitcoin without the need for immediate large-scale capital injections. This approach provides liquidity and allows Strategy to take advantage of market fluctuations to optimize its Bitcoin purchases. The ATM program is expected to be executed over an extended period, with the actual amount raised dependent on market conditions and the company's strategic needs.

The announcement of the $4.2 billion STRD offering comes at a time when Strategy has reported significant gains from its Bitcoin holdings. The company's second-quarter report for 2025 highlighted an unrealized Bitcoin gain of $14 billion, reflecting the substantial appreciation in the value of its Bitcoin assets. This financial performance further validates Strategy's investment strategy and its belief in the long-term potential of Bitcoin. The sale of STRD shares will be managed by agents and other methods deemed appropriate by the company, ensuring a smooth and efficient process.

In summary, Strategy's decision to raise $4.2 billion through the sale of STRD shares is a strategic move aimed at strengthening its Bitcoin holdings and enhancing its financial position. This initiative reflects the company's unwavering commitment to Bitcoin and its belief in the asset's potential for long-term growth. By leveraging the ATM program, Strategy can efficiently manage its cash flow and capitalize on opportunities in the Bitcoin market, positioning itself for continued success in the ever-evolving landscape of digital assets.