Strategy Taps Bitcoin for $15 Billion Capital Flywheel

Strategy Inc (NasdaqGS:MSTR) has launched a Bitcoin-backed preferred stock structure designed with input from ChatGPT. This new preferred share model is backed by the company's existing Bitcoin holdings and forms part of its broader move to build a fresh business model around digital assets.

The company reports raising US$15 billion through this preferred stock offering, which management positions as a 'capital flywheel' for future growth initiatives. Strategy aims to tie together cryptocurrency, AI, and equity financing to achieve the world's largest market capitalization.

Strategy shares last closed at US$100.01, with the stock showing sharp swings in recent years. The company has reported significant volatility, up 160.2% over three years and 37.4% over five years, but down 36.4% year to date and 74.7% over the past twelve months.

Management is leaning on this 'capital flywheel' idea at the same time the company has reported large net losses, including US$8.22 billion in Q2 2026 and US$20.76 billion over the first half. The new funding instrument and heavy recent losses mean the story is shifting further toward balance sheet engineering and digital asset monetisation.