Strategy (MSTR) has not purchased any bitcoin since June 22, when it acquired just 520 BTC for approximately $35 million. Since then, the company has shifted its immediate focus from bitcoin accumulation to strengthening its liquidity position.
During the week ending July 5, Strategy sold 3,588 BTC in two transactions. It sold 1,363 BTC for approximately $80.8 million on June 30, followed by another 2,225 BTC for $135.2 million. The sales generated roughly $216 million and reduced Strategy’s holdings to 843,775 BTC.
The company said the proceeds would help fund distributions on its preferred stock and replenish the portion of its U.S. dollar reserve used to make those payments. The reserve stood at approximately $2.55 billion following the sales.
On Monday, Strategy increased its U.S. dollar reserve to approximately $3 billion. Based on annualized preferred-stock dividends and debt interest of roughly $1.76 billion, the reserve now provides about 20.4 months of coverage.
However, if bitcoin were to fall further and reach new lows, the $3 billion reserve may prove insufficient, potentially forcing Strategy to raise additional funds or sell more bitcoin, which could place further pressure on both STRC and MSTR.