There’s a company out there that really, truly believes in Bitcoin. I mean, they’re all in. Strategy, the firm formerly known as MicroStrategy, just added another 220 bitcoins to its already massive pile. This latest purchase, made between October 6 and October 12, cost them about $27.2 million. That works out to an average price of $123,561 for each new coin.
- Strategy, formerly MicroStrategy, continues its aggressive Bitcoin accumulation, recently adding 220 BTC to its holdings.
- The company funds its Bitcoin purchases through “at-the-market” sales of perpetual preferred stock, part of a larger plan to raise $84 billion by 2027.
- Despite market volatility and significant crypto liquidations, Strategy’s stock (MSTR) shows some resilience, and the company remains committed to its long-term Bitcoin strategy.
Think about that for a moment. They spent a good chunk of change on Bitcoin, even with the market’s recent jitters. This brings their total holdings to an eye-popping 640,250 BTC. It’s a number that makes you lean back in your chair, isn’t it?
Michael Saylor, the company’s co-founder and executive chairman, often shares these updates. He noted their total Bitcoin stash is now worth around $73 billion. They bought all of it at an average price of $74,000 per bitcoin. The total cost, including fees and expenses, sits around $47.4 billion.
That means Strategy is currently sitting on about $25.6 billion in paper gains. It’s quite a return. To put it in perspective, their holdings represent more than 3% of Bitcoin’s entire 21 million coin supply. That’s a serious commitment to the digital gold.
Funding the Bitcoin Vision
You might wonder how a company keeps buying so much Bitcoin. Strategy has a clever way of doing it. They use proceeds from what are called “at-the-market” (ATM) sales of their perpetual preferred stock. These include STRK, STRF, and STRD.
These aren’t your typical company shares. They are special types of stock designed to raise capital. For example, the STRK program has raised $21 billion, STRC $4.2 billion, STRF $2.1 billion, and STRD another $4.2 billion.
These programs feed into Strategy’s larger “42/42” plan. This plan aims to raise a staggering $84 billion through equity offerings and convertible notes. The goal is simple: buy more Bitcoin, and they plan to do this through 2027. They actually doubled this plan from an initial $42 billion, a testament to their conviction.
Each type of preferred stock has its own flavor. STRD, for instance, is non-convertible and offers a 10% non-cumulative dividend. It carries the highest risk and reward. STRK is convertible, meaning it can turn into regular stock, and gives an 8% non-cumulative dividend. This allows for potential upside in the company’s equity.
Then there’s STRF, which is non-convertible but offers a 10% cumulative dividend. This makes it the most conservative option. STRC is a variable-rate, cumulative preferred stock. It offers monthly dividends with adjustable rates, designed to keep its value steady.
Strategy isn’t alone in seeing Bitcoin as a treasury asset. Data from Bitcoin Treasuries shows 188 public companies have adopted some form of Bitcoin acquisition model. It’s a growing trend, though few match Strategy’s scale.
Other major players include MARA with 52,850 BTC, and Tether-backed Twenty One holding 43,514 BTC. Metaplanet has 30,823 BTC, and Bitcoin Standard Treasury Company, backed by Adam Back and Cantor Fitzgerald, holds 30,021 BTC. Bullish, Riot Platforms, President Trump Media & Technology Group, CleanSpark, and Coinbase also hold significant amounts, ranging from 24,300 BTC down to 11,776 BTC.
Interestingly, Strategy had paused its weekly acquisitions just the week before. They usually do this at the end of each quarter. Their holdings stood at 640,031 BTC then, before this latest batch of 220 coins pushed the total higher.
The company also reported some big numbers for the quarter ending September 30. They had an unrealized gain of $3.89 billion on their digital assets. This came with a deferred tax expense of $1.12 billion. Their total digital asset carrying value was $73.21 billion, alongside a deferred tax liability of $7.43 billion.
“Don’t Stop ₿elievin'” in a Shaky Market
Michael Saylor, ever the optimist, hinted at this latest purchase with a familiar tune. He shared an update on Strategy’s Bitcoin acquisition tracker on Sunday. His message: “Don’t Stop ₿elievin’.” This came after a truly wild week in the crypto market, where billions of dollars vanished.
Strategy’s stock, MSTR, felt the squeeze. It closed down 4.8% on Friday at $304.79. The entire week saw MSTR fall 13.1%. Bitcoin itself dropped 7.5%, though it did recover to trade above $114,000 on Monday morning. It had dipped below $108,000 on some exchanges late Friday.
The reason for this market unease? Renewed fears about a U.S.-China trade war. Traders, as they often do, decided to pull back from riskier assets across all markets.
The broader crypto market, however, saw something far more dramatic. We witnessed severe contagion. Much of this was driven by traders using less liquid altcoins as collateral for over-leveraged perpetual longs (bets on future prices). When prices dropped, these positions were automatically closed, or “liquidated.”
This led to cascading liquidations, a chain reaction that wiped out at least $20 billion in positions. Some cryptocurrencies briefly fell to literally zero. It was, in U.S. dollar terms, the largest crypto liquidation event in history. The true figure is likely even higher, as some exchanges don’t report all their data publicly.
Despite the market’s recent turbulence, MSTR showed some resilience. It was up 1.1% in pre-market trading on Monday. Year-to-date, MSTR is up a marginal 1.6%, while Bitcoin itself has seen a 22.4% gain. It seems Strategy’s long-term bet continues, even when the market throws a curveball.
