Strategy Books $8.2 Billion Loss on Bitcoin Price Decline

Strategy, the world's largest corporate Bitcoin holder, reported an $8.2 billion net loss in its second quarter results due to a significant decline in Bitcoin prices. The quarterly loss was primarily driven by an unrealized markdown of $8.32 billion on its Bitcoin holdings under fair-value accounting.

The company held 843,775 Bitcoins as of July 26, which is up 25% from the start of the year. At current prices, this stash is worth around $54.8 billion, compared to an acquisition cost of $63.7 billion. This means that Strategy's Bitcoin holdings have lost around $9 billion in value since January.

Chief Financial Officer Andrew Kang stated that their USD Reserve currently stands at $3.75 billion, which is enough to cover more than two years of preferred dividend payments and interest expenses. The company also sold about $218.4 million worth of Bitcoin under its new BTC Monetization Program to shore up cash and help fund preferred stock dividends.