Key Highlights
- Strategy disclosed an $8.32 billion digital asset loss for the second quarter of 2026
- The firm liquidated 3,588 Bitcoin across two transactions — 1,363 BTC on June 29–30 and 2,225 BTC on July 1–5
- All Bitcoin sales occurred below the company’s average acquisition price of $75,476 per token
- Shares of MSTR fell as much as 4.5% to $96.29 following the disclosure
- Sale proceeds were allocated to preferred stock distributions and bolstering the company’s USD cash reserve, which totaled $2.55 billion as of Sunday
Strategy (MSTR) shares tumbled as much as 4.5% to $96.29 on Monday morning following the company’s disclosure of an $8.32 billion digital asset loss during the second quarter and confirmation of recent Bitcoin sales.
The stock had experienced a 7.9% gain at Thursday’s close. Over the weekend, Chairman Michael Saylor shared a post on social media displaying the company’s Bitcoin acquisition timeline, which temporarily boosted investor sentiment before the regulatory filing became public.
Prior to the full extent of the quarterly loss being disclosed, MSTR traded near $99.81, reflecting a 0.9% decline. As of Friday’s market close, the stock had surrendered approximately one-third of its value during 2026.
Bitcoin (BTCUSD) decreased 1.34% on Monday. The digital currency has retreated roughly 30% from its April 2025 highs.
Strategy liquidated 1,363 Bitcoin during June 29–30 at an average sale price of $59,256 per token, generating $80.8 million. Subsequently, the company sold an additional 2,225 Bitcoin between July 1–5 at an average price of $60,773, yielding $135.2 million.
In total, Strategy sold 3,588 Bitcoin within a seven-day period, with all transactions executed below the firm’s average cost basis of $75,476 per coin.
Strategy currently maintains a position of 843,775 Bitcoin, purchased at an average price of approximately $75,476 each.
Rationale Behind the Bitcoin Sales
According to the company, funds generated from the Bitcoin liquidations were directed toward funding preferred stock distributions and replenishing its U.S. dollar cash position.
Strategy maintains this USD reserve specifically to satisfy dividend obligations on preferred equity and service interest payments on outstanding debt instruments. The reserve balance reached $2.55 billion as of Sunday.
These transactions follow a comprehensive financial restructuring initiative that Strategy unveiled on June 29, designed to strengthen the company’s financial position and restore investor confidence.
Investor Response
Coinbase Global (COIN) declined 0.4% during Monday’s session, while Robinhood Markets (HOOD) advanced 2.1%.
The second-quarter loss of $8.32 billion represents one of the most substantial digital asset impairments the company has ever recognized. The loss stems directly from liquidating Bitcoin holdings at prices below the original acquisition costs.
As of Sunday, July 6, Strategy’s U.S. dollar reserve balance stood at $2.55 billion.
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