Michael Saylor’s Strategy has announced another halt to weekly Bitcoin purchases, just a week after resuming its BTC accumulation purchasing program. Based on a recent filing to the SEC, Strategy neither purchased nor sold Bitcoin during the last reporting period, leaving its Bitcoin holdings at 845,050 BTC. The company’s total cost to acquire the BTC was approximately $63.73 billion, with an average purchase price of $75,412 per Bitcoin.
The recent purchase halt comes just after Strategy bought 4,603 BTC, ending a purchasing break of over two months. During that period, the company sold some of its positioned Bitcoin and, as a result, Strategy’s BTC Treasury acquisition strategy has received a lot of interest from investors.
Strategy’s Current Bitcoin Holdings
Based on the latest filing, Strategy’s Bitcoin holdings remain stagnant at 845,050 BTC. The total cost basis for these holdings is approximately $63.73 billion.
Purchase Strategy’s Recent Bitcoin Activities
Two weeks ago, Strategy initiated a Bitcoin purchase at 4,603. This purchase ended a buy pause of more than two months.
This week’s zero purchase week is a new addition to Strategy’s pattern of Bitcoin accumulation. Rather than accumulate Bitcoin through weekly purchases, Strategy has once again decided to stop purchasing more Bitcoin.
Strategy Too Pauses MSTR ATM Share Sales
Strategy also decided to stop its MSTR ATM share sales in the last reporting period. Previously, Strategy used the proceeds from its equity capital market activities to buy Bitcoin, to buy back its preferred shares, and to keep cash available.
Two weeks prior, Strategy decided to sell approximately 4.53 million MSTR shares and raised around $602 million from its ATM program.
In the last month, MSTR shot up approximately 45% and Bitcoin recovered from the approximately $63,000 to approximately $82,000 range. Because of this recovery, MSTR is still more than 7% down for the year and was trading at around $138, a decline of more than 3% in the last trading session.
Strategy Buys Back $176 Million of STRC Shares
While Bitcoin purchases are on hold, Strategy continues to buy back its preferred security, STRC.
The company bought over 1.8 million STRC shares during the last week, at a cost of over $176 million. This continues the company’s buyback of STRC at support of the $100 par value.
Furthermore, the company increased the Digital Credit Securities Repurchase Program from $1 billion to $2 billion.
The preferred stock of Strategy Inc. (STRC) is currently trading around $97 and is hence worth approximately $3 less than its par value of $100. Overall, the preferred stock has appreciated over 5% in the last month and is still in double-digit percentage gains from its low of around $76 reached in June.
In the meanwhile, no new Bitcoin purchases have been made, but there have been STRC buy backs, showing that Strategy’s focus has shifted toward other capital allocation. The market will keenly follow in which direction Strategy focuses, either by resuming Bitcoin purchases or continuing buy backs of preferred stock.
