Strategy Posts Record $8.33B Loss as Bitcoin Holdings Sink Below Cost

Strategy, one of the largest publicly traded corporate Bitcoin holders in the US, reported an $8.33 billion operating loss for its second quarter due to a sharp decline in the value of its digital asset portfolio.

The company's Bitcoin holdings sank by more than 27% this year, dropping from approximately $88,400 at the end of 2025 to near $64,700 following Strategy's earnings announcement. As a result, the value of its 843,775 BTC fell below their aggregate purchase cost of $63.69 billion.

Strategy recorded an unrealized digital asset loss of $8.32 billion during the quarter, contributing to an operating loss of $8.33 billion. The company's net income plummeted from a $10.02 billion profit in the same period last year to a $8.22 billion net loss.

Despite the significant decline in its digital asset portfolio, Strategy has maintained a strong financial position, with a U.S. dollar reserve of $3.75 billion providing 2.1 years of coverage for preferred stock dividends under its current policy.