Strategy Raises $334 Million and Buys No Bitcoin With It for an Eighth Straight Week

“No bitcoin purchases or sales were made this week,” Strategy said in a Form 8-K filed Monday. The company neither bought nor sold bitcoin between Aug. 10 and Aug. 16, and every dollar it raised selling stock went to servicing its preferred shares instead.

The company sold 3,458,866 MSTR shares for $333.7 million in net proceeds, about $96.48 a share after commissions. It sent $52.4 million to dividends on its STRC preferred stock, $132.2 million to buying that same preferred stock back, and $149.1 million into its USD Reserve. Those three uses account for the entire raise. Strategy sold no preferred stock, having halted the STRC issuance that once funded its bitcoin buying.

Strategy last bought bitcoin in the week ended June 21, when it added 520 BTC for $34.9 million at an average of $67,068 a coin. Monday’s filing was the eighth straight to report no purchase, a stretch that has taken in a $216 million bitcoin sale and the start of a financing overhaul. Executive Chairman Michael Saylor had pledged in May to buy 10 to 20 bitcoin for every one the company sold.

Holdings stand at 840,447 BTC bought for $63.36 billion, an average of $75,385 a coin. With bitcoin near $63,530 on Monday, the position is roughly $9.96 billion underwater.

The week’s repurchase covered 1,388,720 STRC shares at about $95.19 each, close to 5% under the $100 par value and a shade above STRC’s $94.78 close on Friday. Strategy told investors in June that it wanted the security to trade near par. About $653 million of the $1 billion preferred repurchase authorization remains, alongside an untouched $1 billion for common stock.

The USD Reserve finished the week at $4.80 billion, up from $4.65 billion. Strategy’s board set a floor in June of 12 months of expected preferred dividends and interest, which the company put at about $1.76 billion a year. In a post on X, Strategy said the week “increased USD Duration by 41 days to 2.8 yrs and tightened STRC’s BTC Credit by 4 bps to 114 bps.”

Related Listen: Strategy Sells $216M in Bitcoin. Is Saylor a Buyer or a Seller Now?: Bits + Bips

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