Strategy Bolsters Cash Reserve, Eyes Future Bitcoin Buys

MicroStrategy, now known as Strategy after a name change, has established a new cash reserve that it will use to buy Bitcoin. This move comes after the company skipped buying Bitcoin in its last transaction in June.

The Nasdaq-listed company increased its typical cash buffer to $5.1 billion and created an additional pot of $1.59 billion, which can be used to acquire Bitcoin or stocks. Strategy has not made a direct purchase of Bitcoin since June, instead focusing on stock buy-backs and creating a cushion.

The company's decision to establish this new cash reserve is in line with its stated intention to remain a long-term buyer of Bitcoin. Its President and CEO Phong Le has emphasized that the company intends to keep buying Bitcoin.