Strategy, the software company that has reinvented itself as a Bitcoin treasury vehicle, disclosed a fresh cryptocurrency purchase on Monday even as its stock and the wider digital asset market moved lower. The company formerly known as MicroStrategy acquired 1,036 Bitcoin between November 2 and November 8 at an average price of $79,012 per token, according to a filing with the Securities and Exchange Commission. The total outlay came to approximately $81.9 million.
The purchase lifts Strategy's Bitcoin holdings to 850,364 BTC, a position that represents more than 4% of the cryptocurrency's total supply cap. Cumulatively, the company has spent about $64.2 billion to build that stack, implying an average acquisition cost of $75,456 per token, inclusive of fees and expenses.
Funding through equity sales and preferred buybacks
Strategy financed the latest Bitcoin purchase with proceeds from sales of its Class A common stock under an at-the-market offering programme. During the week ended November 8, the company sold 2,051,348 MSTR shares for roughly $283.8 million. It said approximately $18.34 billion worth of shares remained available for issuance and sale under the programme.
Separately, Strategy tapped its US dollar reserve to repurchase 1,887,464 shares of its Series A perpetual Stretch preferred stock, known as STRC, for about $188.3 million. An additional $2.1 million from the reserve funded dividends on its preferred stocks. As of November 8, the company reported $4.77 billion in its USD Reserve and $146.2 million in USD Cash balances. The reserve is designated to cover preferred stock dividends and interest on outstanding debt, while the cash account supports broader treasury operations, including Bitcoin purchases and reserve expansion.
MSTR stock under pressure
Despite the continued accumulation, MSTR shares fell 2.35% in Monday trading, extending a difficult stretch. The stock was down nearly 18% for the year through Friday's close and has declined 47% over the past twelve months. The equity has become a high-beta proxy for Bitcoin, amplifying moves in the underlying asset in both directions.
Bitcoin itself was down around 1.4% over the 24 hours to early Monday, adding to its recent decline. Several forces are weighing on the cryptocurrency. Investors increasingly expect the Federal Reserve to keep raising interest rates to contain inflation, and higher borrowing costs tend to pressure risk-sensitive assets. Concerns about a slowdown in artificial intelligence spending may also be spilling over into Bitcoin, which has often traded in tandem with technology stocks.
Regulatory crosscurrents
The regulatory picture is another variable for investors to track. Last week, the Commodity Futures Trading Commission approved the trading of perpetual futures, contracts that let investors speculate on an asset's price without owning it. The Capital Markets Alliance, a trade group, quickly sued the regulator to halt the approval, a move that could shape the expansion of regulated cryptocurrency products in the United States.
Cantor analyst Gareth Gacetta told Barron's that the approval could be another meaningful step toward bringing products historically concentrated on offshore crypto venues into regulated US markets. For Strategy, the outcome matters because its equity story is tied closely to the maturation of institutional Bitcoin infrastructure.
This article is for informational purposes only and does not constitute financial advice.
