Strategy Sells 1,690 Bitcoin, Boosts Cash Reserves to $4.65 Billion

Strategy Sells Bitcoin, Strengthens Cash Reserves

In a significant move, the cryptocurrency treasury firm Strategy has sold 1,690 bitcoin, generating approximately $108.6 million. This transaction is part of their broader financial strategy aimed at boosting their cash reserves, which now stand at $4.65 billion.

Details of the Transactions

According to a recent filing, Strategy raised an additional $653.1 million from the sale of 6.59 million shares in common stock. The funds from the bitcoin sale were used to repurchase 1,152,020 shares of their variable-rate preferred stock, known as STRC.

Following the sale, Strategy now holds 840,447 BTC, which they acquired for about $63.36 billion at an average price of $75,385 per bitcoin. The recent bitcoin was sold at an average price of $64,262 after accounting for fees.

Impact on Financial Strategy

Of the total proceeds from the common stock sale, $650 million was allocated to the company’s USD reserve, while $3.1 million was added to its cash balance. Notably, Strategy still has $785.2 million available under its preferred-stock repurchase program and $1 billion left in its MSTR common-stock repurchase program.

Market Reactions

Following these developments, both MSTR and STRC shares experienced a slight uptick of 0.5% in pre-market trading. Meanwhile, bitcoin is trading around $65,000.