Strategy Dumps $108.6M Worth of Bitcoin at a Loss Amid Shift Away from Aggressive Accumulation Model

Strategy (NASDAQ: MSTR), the world's largest corporate holder of Bitcoin, has made a significant shift in its stance on the cryptocurrency. The company, which had previously adhered to a 'never sell' policy since 2020, sold 1,690 BTC for $108.6 million in the week ending August 9. This sale was part of a broader strategy to replenish its dollar reserve and fund dividend payments.

The proceeds from the sale were directed towards a $108.6 million buyback of STRC preferred shares, marking the third transaction under a $1 billion repurchase program. Notably, Strategy sold the Bitcoin at an average price of $63,957 per coin, which is roughly $11,500 below its cost basis of $75,419.

This decision marks a departure from Strategy's long-held accumulation model, which had become a benchmark for other publicly traded companies looking to invest in cryptocurrency. The company's CEO, Phong Le, stated in May that Strategy could sell Bitcoin when doing so would benefit shareholders, signaling a formal shift away from the buy-and-hold doctrine.