Strategy Posts Record Quarterly Loss as Saylor Defends Bitcoin Sales

Strategy Inc., a leading institutional holder of Bitcoin, reported a significant quarterly loss in its latest financial report. The company posted an $8.22 billion net loss for Q2 2026, driven by unrealized markdowns on its Bitcoin position after the price pulled back sharply from its 2026 highs.

Despite this loss, Strategy's Bitcoin stack grew 11% to 843,775 coins by the end of the quarter, funded largely through equity and digital credit offerings. The firm trimmed its total to 843,775 BTC after selling 3,588 BTC for $216 million in early July, extending its break from a long-standing 'never sell' pledge.

Strategy's chairman and co-founder Michael Saylor argued that the sales were routine capital management and not a retreat from the company's Bitcoin treasury strategy. He noted that Strategy cannot rely on options or volatility-based tools to fund its obligations due to counterparty risk, complexity, and tax complications.

The company's digital credit vehicle, STRC, has become central to its approach, with its notional value growing to $10.5 billion by the close of Q2. Institutional holders now account for 29% of outstanding STRC, up from 22% a quarter earlier. Strategy raised $8.4 billion in total capital during the quarter, including $5.5 billion through digital credit instruments.