MicroStrategy, the world's largest corporate Bitcoin holder, is now facing significant unrealized losses on its multi-billion dollar crypto treasury following the recent market downturn. The company's aggressive accumulation strategy, spearheaded by founder Michael Saylor, has moved deep into the red as Bitcoin's price decline erases billions in paper value.

Strategy’s Bitcoin Bet Records Billions Of Dollars In Losses

Strategy recently filed its Form 8-K for the first quarter of the year 2026, and it showed major losses for the company and its Bitcoin strategy. According to the form, the company’s Bitcoin holdings were down over $14 billion in Q1 alone, reflecting the decline that the btc price has suffered during this time.

Despite the Bitcoin price and its holdings moving underwater, Strategy had continued to purchase Bitcoin. Throughout the first quarter of the year, the company made a total of 12 different BTC purchases, with the lowest being a $40 million haul.

By the time the company was done in Q1, it had spent over $7 billion buying BTC in three months, adding more than 89,000 BTC to its already massive stash. This brought the total spend that the company has made over the years buying BTC to over $57 billion.

Despite the filing showing billions of dollars in losses, the company is right back to buying Bitcoin again. On April 6, the company reported another purchase of 4,871 BTC at an average price of $67,718. This cost the compass $329.9 million, bringing its total BTC spend so far to $58.02 billion.

The Bitcoin price has since rebounded from its Q1 lows and is trending high again, but the company is still underwater. Its current cost basis sits at $75,644 per coin, so as long as the BTC price stays below this level, then the company’s BTC holdings remain underwater.

As for the company’s stock price, it has followed the downward trajectory of Bitcoin. The MSTR stock price is sitting round $163 at the time of this report, down by more than 50% from its 2025 peak above $400. As for its BTC holdings, Saylor has previously said that the company has no plans to sell its BTC, and in fact will keep accumulating BTC for the foreseeable future.