Strategy bought 24,869 BTC for $2.01B, funded mainly by STRC preferred stock sales. The model now depends on capital market demand, not just bitcoin price.
Alpha Score of 30 reflects weak overall profile with poor momentum, weak quality, moderate sentiment. Based on 3 of 4 signals – score is capped at 90 until remaining data ingests.
Strategy has purchased another 24,869 BTC for approximately $2.01 billion, extending its position as the largest corporate bitcoin treasury holder. The acquisition, disclosed in an SEC 8-K filing, was funded almost entirely by proceeds from sales of its STRC perpetual preferred stock, not common equity.
The purchase between May 11 and May 17 came at an average price of $80,985 per bitcoin. It brings Strategy’s total holdings now stand at 843,738 BTC, acquired at an average cost of $75,700 per BTC for a total outlay of about $63.9 billion including fees. At current prices, the position is worth roughly $65.3 billion and represents more than 4% of bitcoin’s fixed 21 million supply cap. The implied paper gain of about $1.4 billion remains highly sensitive to bitcoin’s price swings.
Strategy raised the capital through two at-the-market programs during the same week. The split reveals a clear shift in funding sources.
| Funding Source | Week’s Proceeds | Remaining Capacity |
|---|---|---|
| MSTR common stock | $83.7 million | $26.27 billion |
| STRC preferred stock | $1.95 billion | $17.51 billion |
STRC is a variable-rate, cumulative preferred stock that pays monthly dividends. Its adjustable rate is designed to keep shares near a $100 par value. The current annualized yield is 11.5%. Strategy has proposed changing the dividend schedule from monthly to twice-monthly payments, citing reduced reinvestment lag, improved liquidity, and better price stability.
The funding mix marks a structural change. Previous large purchases relied more heavily on common equity or convertible debt. Now STRC is the primary engine. The company sold roughly 19.5 million STRC shares versus only 430,000 MSTR shares in the same period. That means the sustainability of Strategy’s bitcoin accumulation depends less on MSTR’s stock price and more on institutional demand for a preferred product that yields over 11%.
Analysts at K33 have identified a recurring pattern. Strong investor demand for STRC may be creating mid-month bitcoin buying pressure as Strategy issues new shares and uses the proceeds to acquire BTC before current ex-dividend dates on the 15th of each month.
That dynamic gives Strategy’s activity a wider market relevance. The company is not a passive holder. It is an active buyer whose issuance schedule, dividend mechanics, and investor demand can influence short-term bitcoin flows. When Strategy raises large amounts through preferred stock, the proceeds quickly translate into spot purchases.
Michael Saylor again hinted at the acquisition before the official disclosure, sharing an update on Strategy’s bitcoin acquisition tracker and writing, “Big dot energy.” The comment reinforced the company’s pattern of signaling major purchases before filings confirm them.
The latest purchase ranks as Strategy’s 6th-largest weekly acquisition to date and its 2nd-largest this year, behind the 34,164 BTC purchase in April. The scale confirms the strategy remains active even as bitcoin trades under pressure and shares of bitcoin treasury companies have pulled back from their 2025 highs.
The risk profile has changed. The key risk is no longer only bitcoin price volatility. It is also whether investor demand for Strategy’s capital instruments remains strong enough to support continued accumulation.
Strategy recently expanded its at-the-market programs to include up to an additional $21 billion of MSTR, another $21 billion of STRC preferred stock, and $2.1 billion of STRK preferred stock. That gives it a large remaining issuance base but also increases investor focus on dilution and balance sheet risk.
MSTR carries an Alpha Score of 30/100 (Weak) on AlphaScala’s proprietary rating system. The stock fell 5.1% last week to close at $177.42, though it remains up 14.8% year-to-date. Bitcoin fell about 3.3% over the same period and later slipped below $77,000 amid renewed macro pressure and inflation concerns.
Several conditions could weaken or halt Strategy’s buying cadence.
On the positive side, continued strong demand for STRC at or above par, combined with bitcoin stabilizing above $80,000, would support further accumulation. The company also agreed to buy back $1.5 billion face value of its zero-coupon 2029 convertible notes for about $1.38 billion, retiring debt at roughly 92 cents on the dollar. That reduces leverage and improves the equity story.
Strategy has proposed moving STRC dividends from monthly to twice-monthly payments. The company says the change could reduce reinvestment lag and improve market efficiency. For investors, the shift would mean more frequent cash flows from the preferred stock, potentially increasing its appeal to income-focused buyers.
If the proposal passes, it could strengthen demand for STRC could strengthen, giving Strategy more firepower for future purchases. If it fails, the current monthly schedule remains, and the mid-month buying pattern continues as is.
The broader digital asset treasury trade has cooled. According to Bitcoin Treasuries data, 196 public companies have adopted some form of bitcoin acquisition model, with 84 currently active. Yet many shares in the group are down sharply from their summer 2025 peaks as market cap-to-net asset value ratios have contracted.
Strategy remains the dominant player, its model is now more exposed to capital market conditions than to bitcoin’s price alone. The next leg of the story is not about bitcoin. It is about whether investors keep buying the preferred stock.
Prepared with AlphaScala research tooling and grounded in primary market data: live prices, fundamentals, SEC filings, hedge-fund holdings, and insider activity. Each story is checked against AlphaScala publishing rules before release. Educational coverage, not personalized advice.