Strategy Halts Bitcoin Buys, Focuses on Preferred Stock Repurchases

Strategy Inc., owner of the MSTR ticker, has paused its bitcoin buying for the third consecutive week. Instead of adding to its existing holdings, the company opted to repurchase preferred stock to bolster its cash reserves following a recent cryptocurrency selloff.

In premarket trading on Monday, Strategy shares rose 2.6% to $94.08. The company's bitcoin holdings remain unchanged at 843,775 BTC, with an approximate investment value of $63.69 billion based on an average purchase price of $75,476 per coin.

Bitcoin itself was down 0.7% before the opening bell, trading near $64,911. Strategy's decision to pause its bitcoin purchases may reflect a more cautious approach as it balances its significant exposure to the cryptocurrency market with obligations to preferred shareholders and creditors.