MicroStrategy (MSTR) Stock Tumbles Despite Massive 850 Bitcoin Acquisition

Wall Street delivers brutal verdict on MicroStrategy's latest crypto move.

The Bitcoin Bet Backfires

MicroStrategy just loaded up on another 850 BTC—and investors responded by dumping the stock. The divergence between Bitcoin enthusiasm and market reality creates a stunning disconnect.

Numbers Don't Lie

That 850 BTC acquisition represents serious conviction from Michael Saylor's team. Yet traditional investors seem more focused on quarterly earnings than digital gold accumulation.

When Fundamentals Clash With Vision

The selloff highlights the ongoing tension between crypto maximalists and traditional finance metrics. Sometimes even massive Bitcoin buys can't overcome Wall Street's obsession with conventional valuation models.

Another day, another reminder that traditional markets still don't understand Bitcoin's value proposition—but they sure love collecting those management fees while figuring it out.

TLDR

• Strategy Inc. buys 850 BTC for $99.7M, now holding 639,835 coins total.
• Stock dips 2.49% as Strategy boosts BTC stash to 639,835 worth $72B.
• Firm raises funds via ATM equity & preferred shares to fuel BTC buys.
• Strategy’s “42/42” plan targets $84B to grow Bitcoin reserves by 2027.
• Four preferred stock classes power company’s relentless BTC strategy.

Strategy Inc.(MSTR) shares declined 2.49% on Monday, closing at $336.17 after a sharp mid-morning drop.

Strategy Inc. (MSTR)

The stock briefly plunged before stabilizing and moving sideways for the rest of the session. Despite the decline, the firm revealed another addition to its growing Bitcoin reserves.

Between September 15 and 21, the company acquired 850 bitcoins for $99.7 million. The average purchase price for this latest tranche stood at $117,344 per coin. This relatively small acquisition increased the company’s total holdings, reinforcing its aggressive bitcoin accumulation plan.

BTC Accumulation Continues with Strategic Funding

Strategy owns 639,835 bitcoins, representing over 3% of bitcoin’s total capped supply. These holdings have a total cost basis of approximately $47.3 billion, including all related fees and expenses. The stash is worth around $72 billion, producing over $25 billion in unrealized gains.

The firm financed its latest purchase through at-the-market (ATM) equity offerings. It issued new Class A common stock (MSTR) and perpetual preferred shares to raise capital. The transactions align with the firm’s broader capital deployment strategy focused on increasing bitcoin reserves.

This funding activity is part of the firm’s “42/42” program, which aims to raise $84 billion by 2027. The initiative, expanded from the original “21/21” plan, supports ongoing digital asset acquisitions. The firm’s capital strategy now incorporates multiple preferred stock classes with distinct risk-reward profiles.

Preferred Stock Structure Powers Bitcoin Buying

The company uses four types of perpetual preferred stock: STRK, STRC, STRF, and STRD, each with specific structures. STRD carries a 10% non-cumulative dividend and is non-convertible, offering the highest risk-reward profile. STRK, with an 8% non-cumulative dividend, is convertible and allows equity upside.

STRF, used in recent fundraising, offers a 10% cumulative dividend and is structured as the most conservative option., STRC is a variable-rate, cumulative preferred share paying monthly dividends with rates that adjust to remain close to par. Each instrument supports the firm’s liquidity management while fueling bitcoin purchases.

The capital raised from these preferred stocks provides flexible, ongoing access to cash without relying solely on debt. This funding model allows Strategy to sustain its Bitcoin strategy through market cycles and reflects the company’s belief in Bitcoin as a Core treasury reserve asset.