Strategy Sells Bitcoin Again to Cover Its Bills

Bitcoin giant Strategy sold $104.7M in Bitcoin to pay dividends and buy back shares, but says it's still a long-term believer.

A company famous for buying huge amounts of Bitcoin just sold some — again. Strategy (formerly called MicroStrategy) is the world's biggest corporate owner of Bitcoin, but lately it has been selling small pieces instead of buying more.

On Monday, Strategy revealed in an official filing with the SEC (Securities and Exchange Commission — the U.S. government agency that watches over financial markets) that it sold some of its Bitcoin.

Here are the key numbers:

1,638 Bitcoin sold for about $104.7 million
Average selling price: $63,957 per coin
$52.4 million used to pay dividends (regular cash payments to certain shareholders)
$52.3 million used to buy back its own STRC preferred shares (a special type of stock that pays fixed income)

Strategy also raised money in other ways. It sold about 3 million shares of its regular stock (MSTR) through an ATM program ("at-the-market" — selling shares gradually at current market prices), bringing in $290.6 million. Of that, $250 million was added to its cash safety fund, now worth $4 billion.

Why is a Bitcoin-loving company selling Bitcoin? Simply put, Strategy needs cash to keep its promises to investors — like paying dividends and interest on money it borrowed. Rather than only buying Bitcoin, it's now using stock sales and small Bitcoin sales to cover these bills.

Despite the selling, Strategy insists its love for Bitcoin hasn't changed. CEO Phong Le says the company plans to stay a long-term buyer of Bitcoin.

The big picture: Strategy still holds a massive 842,138 Bitcoin, worth roughly $54 billion at around $64,000 per coin. It started buying Bitcoin back in August 2020 and has spent over $63.5 billion building its stash — inspiring many other companies to copy the strategy.

The recent sales are tiny compared to its huge holdings, so this is more about managing everyday finances than abandoning Bitcoin.

This is an AI-generated summary. Read the original article at: https://bitcoinmagazine.com/news/strategy-sells-bitcoin-after-buying-pause