Strategy Boosts Cash Reserves Amid Paused Bitcoin Purchases
Strategy, a company known for its significant Bitcoin holdings, has made a strategic move to boost its cash reserves without adding to its BTC stash. The firm's latest treasury update shows that it purchased no new Bitcoin during the week ended July 26, keeping its total holdings at 843,775 BTC.
The acquisition cost of this BTC remains $63.69 billion, with an average purchase price of $75,476 per unit. In a departure from its previous strategy, Strategy has instead allocated funds to increase its USD Reserve by $525 million.
This move has lifted the company's cash reserves to $3.75 billion, providing approximately 2.1 years of dividend coverage. According to management, this larger reserve will strengthen the company's financial flexibility and provide additional liquidity for future capital allocation or potential corporate activities.