Strategy Sells Off $147.6 Million Worth of Bitcoins to Fund Dividend Payments

Strategy, the world's largest Bitcoin holding company, has sold off significant amounts of Bitcoin again. This time, it was to pay dividends and fund its Digital Credit Securities Repurchase Program.

The company disclosed that between July 27 and August 2, it sold 1,638 Bitcoins for $147.6 million at an average price of $63,957 per coin. At the end of this period, Strategy held 842,138 Bitcoins with a flat price of $75,419.

The proceeds from these sales were used to pay dividends on its preferred stock STRC, which has a fixed value of $100 and pays a monthly variable dividend of 11.5% per year. The company plans to continue this trend until STRC recovers its face value level stably.

Strategy's continued sale of Bitcoin is not surprising, given the decline in the virtual asset market's interest from investors. However, the market was not significantly affected by this news, with Bitcoin closing 7.36% higher in July but continuing to trade in a box-office flow in the early $60,000 range.

August has traditionally been a weak month for Bitcoin, and investors are increasingly concerned. Historically, August has recorded losses over the past decade, except for three years: 2017, 2020, and 2021.