Strategy Pauses Bitcoin Buying, Focuses on Building USD Reserve

Strategy, a company with a significant Bitcoin (BTC) treasury, has taken a break from buying more coins. According to a recent filing with the Securities and Exchange Commission, Strategy did not add a single coin to its BTC holdings in the week ending June 28. This pause in buying comes despite the company selling 12,669,017 shares of its common stock, MSTR, last week alone, generating about $1.15 billion.

Instead of putting that money into Bitcoin, Strategy redirected it towards building up its USD reserve, which climbed to $2.55 billion by June 28. This move is part of a new internal policy that limits how the USD reserve can be spent. The policy requires Strategy to keep at least 12 months of dividend payments and interest on outstanding debt available at all times.

Strategy has also introduced two new buyback programs, one for its preferred stock products and another for MSTR shares. Additionally, the company has implemented a BTC Monetization Program that permits selling up to $1.25 billion worth of Bitcoin to refill the USD reserve, cover costs, or fund the buybacks. Michael Saylor, Executive Chairman, stated that Strategy intends to be more selective about issuing new MSTR shares while the stock trades near its current value.