Strategy Defends Bitcoin Trading Strategy Amid Price Fluctuations

Strategy, a company led by CEO Phong Le, has been making headlines in recent days for its Bitcoin trading activities. In an interview with Bloomberg Crypto, Le revealed that Strategy sold 6,916 BTC across four tranches from late June through mid-August at a weighted average near $62,200. The company then used the proceeds to fund STRC dividends when issuing shares had become expensive.

Last week, Strategy bought 4,603 BTC at an average of $80,318. Le defended the decision as both buying and selling Bitcoin were correct moves, stating that 'Bitcoin's price wasn't the input' for Strategy.

Strategy's balance sheet has strengthened since the two-month pause in trading, with assets growing to $72 billion, dollar reserves increasing by around $7 billion, and net debt being cut from about $7 billion to zero. Le believes this stronger balance sheet makes equity cheaper to issue, which in turn makes buying Bitcoin more feasible.

Le pushed back on the size of the story, noting that the sale was under 1% of holdings, which have grown 25-30% this year. Strategy now holds 845,050 BTC worth roughly $65.4 billion.