Strategy's Five-Week Bitcoin Pause Sparks Investor Concerns
Strategy, formerly known as MicroStrategy and led by Michael Saylor, has gone five weeks without buying any Bitcoin since late June. This is the longest pause in their buying activities since at least 2024.
The company's holdings remain at 843,775 BTC, acquired at an average cost of roughly $75,476 per coin. Strategy has instead been hoarding cash, increasing its USD reserves by $525 million in one week alone.
They have also allocated $25 million to buy back their own STRC preferred stock at a discount. This is unusual for Saylor-led operations, which typically finance Bitcoin purchases through equity raises and preferred stock offerings.
The market is pricing Strategy's debt instruments below face value, making it cheaper for them to buy back their own debt. MSTR shares have declined by nearly 50% over the 2025-2026 period, reducing the appeal of issuing new equity to fund Bitcoin purchases.