Strategy's MSTR Stock Plunges After $8.3B Unrealized Bitcoin Loss

Strategy, the largest corporate Bitcoin holder, reported its Q2 earnings on July 30. The company's founder, Michael Saylor, outlined key points in a post on X, highlighting a significant unrealized loss on its Bitcoin holdings.

The company holds 843,775 BTC, acquired at an average price of $75,531 per coin. Despite a 3.6x growth in Bitcoin value since 2020 and a 4.5% yield, Strategy's MSTR stock fell 6.14% from $97.59 to $91.6 after the earnings call.

The drop was attributed to an unrealized markdown of $8.32 billion on its Bitcoin holdings and a reported net loss of $24.45 per share. This came as no surprise, given Strategy's recent sale of 3,588 BTC for $216 million, roughly 20% below the average purchase price.