Strategy (MSTR) Stock: Company Faces Class Action Lawsuit While Acquiring 7,390 More Bitcoin

TLDR

Table of Contents

Strategy (MSTR) acquired 7,390 BTC for $764.9 million at an average price of $103,498 per bitcoin
This brings Strategy’s total holdings to 576,230 BTC, valued at roughly $59 billion
The purchase was funded through sales of Class A common stock and Series A STRK preferred stock
Between May 12-18, Strategy raised $705.7 million from stock sales and issued 621,555 STRK preferred shares
A class action lawsuit has been filed against Strategy alleging misleading statements about their bitcoin investment strategy

Strategy has added 7,390 bitcoins to its treasury, spending approximately $764.9 million at an average price of $103,498 per bitcoin. The purchase was reported in a Monday filing with regulators.

Strategy has acquired 7,390 BTC for ~$764.9 million at ~$103,498 per bitcoin and has achieved BTC Yield of 16.3% YTD 2025. As of 5/18/2025, we hodl 576,230 $BTC acquired for ~$40.18 billion at ~$69,726 per bitcoin. $MSTR $STRK $STRF https://t.co/QwYKgLkfPX
— Michael Saylor (@saylor) May 19, 2025

The latest acquisition brings the company’s total bitcoin holdings to an impressive 576,230 BTC. This massive crypto reserve is currently valued at roughly $59 billion, based on bitcoin’s current market price of around $103,000.

Strategy funded this purchase through two main channels. The company sold shares of its Class A common stock through an at-the-market (ATM) offering. It also issued additional Series A STRK preferred stock.

Between May 12 and May 18, Strategy raised $705.7 million from the sale of its common stock. During this period, the company sold 1,712,708 shares.

The company also issued 621,555 shares of its 8.00% Series A perpetual preferred stock. These sales generated an additional $59.7 million in proceeds.

Growing Bitcoin Treasury

With this latest purchase, Strategy has lowered its overall cost basis. The average purchase price across all of the company’s bitcoin holdings now stands at $69,726 per bitcoin.

The total investment Strategy has made in bitcoin has reached $40.18 billion. This makes the company one of the largest corporate holders of the cryptocurrency in the world.

Strategy still has substantial capacity for further stock sales. According to the filing, $18.98 billion of MSTR shares remain available for sale through the ATM program.

Similarly, $20.79 billion worth of STRK preferred shares are still available for issuance and sale. This suggests the company has ample resources to continue its bitcoin acquisition strategy.

Legal Challenges Emerge

While Strategy continues to expand its bitcoin holdings, the company is facing new legal challenges. On Monday, May 16, a purported class action lawsuit was filed against the company and several of its executives.

The lawsuit alleges that Strategy made false or misleading statements about the expected profitability of its bitcoin investment strategy. It also claims the company failed to properly disclose risks associated with bitcoin’s price volatility.

The complaint seeks unspecified damages from the company. Strategy has stated it plans to “defend vigorously” against these claims.

The company has not provided details on how this legal action might affect its ongoing bitcoin acquisition strategy. The outcome of the lawsuit and any potential financial impact remain uncertain at this time.

Despite these legal challenges, Strategy appears committed to its bitcoin-focused treasury strategy. The latest purchase was completed even as the lawsuit was being filed.

Bitcoin is currently trading near $103,000 per coin. Meanwhile, shares of MSTR were down more than 1% in pre-market trading following the announcement.

Strategy’s bitcoin holdings now represent a significant portion of its market value. The company has transformed itself from a business intelligence firm into what many consider a bitcoin holding company.

The most recent bitcoin purchase demonstrates Strategy’s continued confidence in cryptocurrency as a treasury asset, despite facing legal challenges and bitcoin’s notorious price volatility.

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