Strategy Buys 1,587 BTC for $100M, Lowers Average Cost Basis
Michael Saylor’s Strategy, the largest publicly traded corporate holder of Bitcoin, has added another 1,587 BTC to its reserves, spending $100 million. The purchase, completed between June 8 and June 11, was funded through sales of the company’s Class A common stock (MSTR), according to an 8-K filing with the U.S. Securities and Exchange Commission on June 15.
The new acquisition brings Strategy’s total Bitcoin holdings to 846,842 BTC, accumulated at an average cost basis of $75,656 per coin. The latest purchase was priced at an average of $63,024 per Bitcoin, slightly reducing the company’s overall cost basis. At the current Bitcoin price of $66,334, according to CoinGecko, the value of Strategy’s Bitcoin holdings now stands at approximately $56.2 billion—still significantly below its $64.07 billion acquisition cost.
Funding Through MSTR Stock Sales
Strategy raised $209 million by selling 1.73 million shares of MSTR during the period, continuing its practice of using equity issuance to fund Bitcoin purchases. This method has been a cornerstone of the company’s strategy since it began accumulating Bitcoin in August 2020, transforming MSTR into a de facto Bitcoin proxy for many investors. Preferred share programs, such as STRC and STRF, showed no activity during the week, and STRC shares traded below their $100 par value for a fourth consecutive week, closing at $94.80 on June 12.
Executive Chairman Michael Saylor hinted at the purchase in a cryptic post on X (formerly Twitter), writing, “Still adding dots,” a phrase closely associated with the company’s Bitcoin acquisition announcements. This follows Strategy’s recent $100 million Bitcoin buy disclosed on June 8, and a rare sale of 32 BTC earlier this month, which marked a notable shift from its previously rigid 'HODL' approach.
Market Implications
Bitcoin’s price has seen a modest recovery, up 3.23% in the past 24 hours to $66,334 as of June 15. Strategy’s continued accumulation reinforces its long-term bullish stance, despite the asset trading below the company’s aggregate cost basis. By leveraging MSTR stock sales to acquire more Bitcoin, the company has effectively tied its financial performance to the cryptocurrency’s price movements—a double-edged sword for investors.
The broader market may interpret the latest purchase as a signal of confidence, though questions linger about the company’s flexibility given its recent willingness to sell a small portion of its holdings. Saylor has defended the occasional sales as necessary to support dividend-paying securities, a point of contention among Bitcoin purists.
With 846,842 BTC in reserves, Strategy remains the largest corporate Bitcoin holder by a wide margin. Its buying activity not only sustains demand but also serves as a litmus test for institutional Bitcoin adoption. Traders and investors will likely keep a close eye on both MSTR stock performance and Strategy’s future Bitcoin transactions.
For now, the market will watch for additional filings or announcements from Strategy, which often hints at purchases through subtle social media posts before formal disclosures. With Bitcoin’s price still well below its all-time high of nearly $69,000, Strategy’s aggressive accumulation strategy shows no signs of stopping.