Strategy Sells $216M in Bitcoin to Fund Dividends and Strengthen Cash Reserves

Strategy, the largest corporate holder of Bitcoin, has sold 3,588 BTC between June 29 and July 5, 2026, raising approximately $216 million to strengthen its financial position. According to a filing submitted to the U.S. Securities and Exchange Commission (SEC), the proceeds were primarily used to fund dividend payments on the company’s preferred stock while replenishing its U.S. dollar reserves.

The move reflects Strategy’s evolving treasury management approach, balancing its long-term commitment to Bitcoin with the financial obligations tied to its expanding portfolio of preferred securities.

Strategy Confirms Latest Bitcoin Sale

Executive Chairman Michael Saylor confirmed the transactions in a post on X shortly after the filing became public.

Despite the latest sale, Strategy remains the world's largest publicly traded corporate Bitcoin holder, with more than 843,000 BTC still on its balance sheet.

Bitcoin Was Sold in Two Separate Transactions

The company completed the sales in two phases over the reporting period. Between June 29 and June 30, Strategy sold 1,363 Bitcoin for approximately $80.8 million after fees and expenses, achieving an average sale price of $59,256 per BTC. At the end of June, the company still held 846,000 Bitcoin, acquired at a total cost of $63.94 billion, with an average purchase price of $75,578 per coin.

The second transaction took place between July 1 and July 5, when Strategy sold another 2,225 Bitcoin for approximately $135.2 million. The average selling price during this period rose to $60,773 per Bitcoin. Following the transactions, the company's holdings declined slightly to 843,775 BTC, while its cumulative acquisition cost stood at $63.69 billion, with an average purchase price of $75,476 per Bitcoin.

Cash Reserves Receive Additional Support

According to the SEC filing, a portion of the proceeds from the Bitcoin sales was used to pay distributions on Strategy's preferred stock products. The remaining funds were allocated to rebuilding the company's USD Reserve, which serves as a dedicated liquidity pool for dividend payments and interest obligations.

By July 5, the reserve had reached approximately $2.55 billion, providing additional financial flexibility as Strategy continues expanding its Digital Credit offerings.

The filing also referenced the company's recently announced BTC Monetization Program, introduced on June 29. The framework allows Strategy to periodically monetize portions of its Bitcoin holdings if needed, including raising up to $1.25 billion to further strengthen its USD Reserve. As of July 5, however, none of that additional capacity had been utilized, leaving the full authorization available for future use.

Strategy also confirmed that it did not repurchase any shares under its stock buyback programs during the same reporting period.

Company Reports Large Unrealized Bitcoin Loss

Alongside the operational update, Strategy disclosed preliminary financial results for the quarter ending June 30, 2026.

The company reported an $8.32 billion loss on digital assets, consisting primarily of $8.31 billion in unrealized losses, while realized losses totaled only $900,000. At quarter-end, Strategy carried its Bitcoin holdings at a book value of approximately $49.67 billion.

Because the accounting value of its Bitcoin holdings exceeded their fair market value, the company said it expects to record a valuation allowance against related deferred tax assets. Strategy noted that the adjustment will ultimately be fully offset and therefore will not create an additional net tax impact.

The preliminary financial figures were prepared internally by Strategy's management team. The company emphasized that KPMG LLP, its independent registered public accounting firm, has not audited, reviewed, or expressed an opinion on the reported figures.

Strategy Continues Active Treasury Management

The latest transactions illustrate how Strategy's capital strategy has evolved beyond simply accumulating Bitcoin. While the company continues to view Bitcoin as its primary treasury reserve asset, it is increasingly using its holdings as part of a broader financial management framework designed to support preferred stock investors, maintain liquidity, and strengthen market confidence.

With more than 843,000 Bitcoin still on its balance sheet and $2.55 billion in cash reserves, Strategy remains firmly committed to its Bitcoin-focused business model while demonstrating greater flexibility in managing both its digital assets and capital structure.