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Strategy sells 1,638 BTC amid cash buildup for preferred obligations

The latest trim ran July 27 to Aug. 2, with proceeds split between preferred dividends and buybacks.

Reported · Written up by our desk · Market Structure

Bitcoin treasury company Strategy said it sold 1,638 BTC for about $104.7 million in a move it tied to funding obligations tied to its preferred shares, according to an SEC filing reported by Bitcoin Magazine.

The company said the sale occurred between July 27 and August 2 at an average price of $63,957 per coin. Proceeds were allocated to cover $52.4 million in dividend payments on its preferred stock and $52.3 million for buybacks of its Stretch (STRC) preferred shares.

Bitcoin Magazine also noted that the sale followed a pattern of trimming rather than adding to its Bitcoin holdings after earlier cash management steps earlier this summer. Strategy said it sold 3,011,361 shares of its MSTR common stock through an at-the-market program during the same period, generating $290.6 million in net proceeds, and added $250 million to its USD Reserve.

Strategy reported it repurchased 912,143 shares of STRC for $81.2 million during the week and said it still held 842,138 BTC on its balance sheet, worth roughly $54 billion at Monday’s price of about $64,000. The board also kept STRC’s dividend rate steady at 12% annually, declaring $0.50-per-share payments for periods ending August 31 and September 15, with management saying it does not intend to recommend a lower rate until STRC trades sustainably near its $100 stated value.

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