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For years, Strategy built its identity around one unshakable idea: never sell the Bitcoin. That idea no longer holds.
The company, formerly known as MicroStrategy, has sold Bitcoin repeatedly since May, most recently offloading 1,690 BTC for roughly $108.6 million in a sale reported last week. It’s part of a pattern that would have been unthinkable for Strategy just a year ago.
From “Never Sell” to “Never Be a Net Seller”
CEO Phong Le signaled the shift back in May, telling CNBC that Strategy would sell Bitcoin over issuing equity for dividends whenever it made sense for shareholders on a per-share basis. Executive Chairman Michael Saylor, the architect of Strategy’s Bitcoin-buying strategy, later clarified his own famous stance in an interview, saying his real position was always about never being a net seller, not never selling at all. It’s a subtle distinction, but one that’s opened the door to a very different playbook.
What’s Actually Driving the Sales
The catalyst traces back to Strategy’s preferred stock, STRC, which fell below its $100 share price in May. That drop limited the company’s ability to issue new STRC shares, cutting off a funding source it had relied on to keep buying Bitcoin. In response, Strategy rolled out a capital management framework allowing it to sell Bitcoin, rebuild cash reserves, and buy back STRC shares at a discount to push the price back toward $100.
By late June, the company formalized the approach with its Digital Credit Capital Framework, capping potential Bitcoin sales at $1.25 billion to fund its dollar reserve, dividends, interest payments, and buybacks. That reserve has since grown to roughly $4 billion as of early August.
Also Read: Michael Saylor Reveals Why Strategy Sold Bitcoin — The Reason May Surprise Investors
The Sales Add Up
Since May, Strategy has sold 6,948 BTC for about $432.5 million total. The sales have come in stages — 3,588 BTC in early August for roughly $216 million, another 1,638 BTC for $105 million days later, and the most recent 1,690 BTC sale bringing in close to $109 million, largely funneled into STRC buybacks.
Bitcoin Still Dominates the Balance Sheet
None of this means Strategy is stepping back from Bitcoin as its core asset. The company still holds more than 840,000 BTC, worth around $53.6 billion, according to its latest SEC filing. What’s changed is the flexibility: Strategy now treats Bitcoin sales as a legitimate financial tool rather than a line it won’t cross, giving itself options between selling coins and issuing new shares when it needs capital.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
