Institutional Funds Surge in Strategy's Preferred Stock Amid Bitcoin Price Decline

Strategy CEO Phong Le revealed that institutional funds have surged their average position in Strategy's 'Stretch' preferred stock by 105% to $3.5 million per fund, a significant shift from retail ownership.

This comes as BlackRock and VanEck hold a combined $756 million across three leading U.S. preferred stock ETFs, with STRC being the largest single holding in each.

Prominent stockbroker Peter Schiff questioned this trend, suggesting that the institutional funds may not necessarily believe in Bitcoin's long-term appreciation, but rather are taking advantage of opportunistic Wall Street trades.

The recent decline to $65,000 has left Strategy with a temporary unrealized loss of $1.25 billion for the current quarter.