Strategy Takes $8.3B Hit as Bitcoin Drops 27%

Strategy, an investment company, reported a significant operating loss of $8.33 billion in Q2 2026 due to a sharp decline in Bitcoin prices. The cryptocurrency's value dropped by 27% to around $64,700, which is below Strategy's average purchase price of approximately $75,476. As a result, the company's holdings are now valued less than their initial cost.

The loss was largely due to an unrealized loss of $8.32 billion on its digital assets. Despite this setback, Strategy increased its Bitcoin holdings by 25% to 843,775 coins and raised $17.06 billion through capital markets programs.

In addition to these developments, the company improved its financial position by reducing convertible debt and maintaining a $3.75 billion reserve to cover dividends and interest obligations.