TLDR
- Strategy’s Bitcoin reserve moved below its average purchase price after the latest market decline.
- BitMine’s Ethereum position faces large paper losses as ETH trades below acquisition cost.
- Preferred stock prices and dividend costs are drawing closer investor attention during volatility.
- BitMine’s staking income may offset expenses but cannot remove Ethereum price exposure.
- Treasury-focused crypto firms remain tied to token prices and capital market confidence.
Michael Saylor’s Strategy is facing renewed scrutiny after Bitcoin moved below the company’s average acquisition price, placing its large corporate reserve in an unrealized loss position. The company, formerly known as MicroStrategy, holds 843,706 Bitcoin bought at an average cost of $75,699 per coin.
Based on the supplied figures, Strategy’s total Bitcoin cost basis stands near $63.9 billion, while the reserve was valued at about $52.6 billion with Bitcoin below $63,000. That pricing leaves an estimated paper loss of roughly $11.2 billion to $11.3 billion.
The company also disclosed the sale of 32 Bitcoin, valued near $2.5 million, which drew attention because Strategy has long promoted a long-term holding approach. Saylor said the latest decline reflected capital rotation toward artificial intelligence infrastructure rather than a failure of Bitcoin’s long-term case.
BitMine’s Ethereum Treasury Faces Pressure
BitMine Immersion Technologies, chaired by Tom Lee, is facing a similar test after Ethereum fell below $1,800 and weakened the value of its treasury position. The company holds more than 5.4 million ETH, equal to about 4.5% of Ethereum’s circulating supply.
Its Ethereum position was built at an average cost near $3,500 per token, placing the original investment around $18.8 billion. With ETH below $1,800, the position was valued close to $10 billion, creating estimated unrealized losses near $8.9 billion to $9.4 billion.
BitMine financed most of its Ethereum purchases through equity issuance rather than debt, reducing exposure to loan covenants and interest-payment pressure. The company has also staked about 4.7 million ETH through its MAVAN network, with estimated annualized staking revenue of $276 million to $300 million.
Preferred Stock and Market Sentiment Draw Attention
Strategy’s preferred stock structure has become another focus as STRC recently traded below its intended $100 level. Market commentary placed its current yield near 12.12%, while the company held the June dividend rate at 11.5%.
BitMine has also filed to raise $300 million through 3 million Series A perpetual preferred shares expected to trade under BMNP. The preferred stock carries a 9.5% annual dividend, and proceeds may support ETH purchases, staking infrastructure, working capital, and common stock repurchases.
The pressure on both companies reflects broader stress across digital asset treasury models that rely on long-term token appreciation and market access. Their losses remain unrealized unless assets are sold below cost, while investor attention remains fixed on Bitcoin, Ethereum, preferred financing, and equity-market demand.
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