Home›Crypto›Market Structure›Strategy reports $8.22B Q2 net loss amid Bitcoin decli…

Strategy reports $8.22B Q2 net loss amid Bitcoin decline

The company said it set aside a $3.75B cash reserve and sold about $218.4M of Bitcoin to fund part of its preferred dividend obligations.

Reported · Written up by our desk · Market Structure

Strategy, the Bitcoin treasury company, reported an $8.22 billion second-quarter net loss, driven primarily by an $8.32 billion unrealized loss on its Bitcoin holdings as the cryptocurrency price fell during the quarter, Cointelegraph reports.

As of July 26, Strategy held 843,775 Bitcoin, up 25% from the start of the year. The company also said it sold about $218.4 million worth of Bitcoin under a newly established BTC monetization program, with most sales, $216 million, occurring in early July after the second quarter ended.

Strategy added it built a $3.75 billion U.S. dollar reserve intended to cover more than two years of preferred dividend payments and interest obligations. It also said it repurchased $25 million of its STRC preferred shares at a discount to par and plans to keep buying the securities while they trade below $100.

Cointelegraph cited CoinGecko data showing Bitcoin fell about 14% in the second quarter, from roughly $68,000 at the start of April to about $58,600 by the end of June. On Thursday afternoon, Bitcoin was trading around $64,700, while Strategy shares closed up 4.7% and then slipped modestly in after-hours trading after the earnings report, according to Yahoo Finance data.

Latest closeBitcoin $84,310.25 ▼0.1%

More like this

Sources