MicroStrategy Buys $250M in Bitcoin, Calling the Crypto ‘Superior to Cash’

[Bluedrem]

I've been thinking about something for a while now.
Has it ever happened that those who bought shares of MicroStrategy when the price of Bitcoin was close to double its current price, will they take the opportunity to buy Bitcoin by selling their purchased shares when the price of Bitcoin has dropped by more than half? Or would it be the right decision to hold on to their shares and wait for a steady income.

[Actually, I want to know this out of curiosity, how does this actually work]

[Free Market Capitalist]

I've been thinking about something for a while now.
Has it ever happened that those who bought shares of MicroStrategy when the price of Bitcoin was close to double its current price, will they take the opportunity to buy Bitcoin by selling their purchased shares when the price of Bitcoin has dropped by more than half? Or would it be the right decision to hold on to their shares and wait for a steady income.

[Actually, I want to know this out of curiosity, how does this actually work]

I don't really see the point of the question, but I'll answer it anyway for entertainment purposes.

When the price of Bitcoin reached an all-time high (ATH) of $126K on October 6, 2025, MSTR was trading at approximately $365. Someone who had invested $10K in MSTR at that time would now have approximately $3K.

He could accept the loss if he believes the stock doesn’t have much of a future and use the money to invest in Bitcoin, but I don’t see the connection you’re making in your question.

But what you're saying about “steady income” makes even less sense to me—it seems like you don't know the difference between MSTR and STRC.

[Ambatman]

I've been thinking about something for a while now.
Has it ever happened that those who bought shares of MicroStrategy when the price of Bitcoin was close to double its current price, will they take the opportunity to buy Bitcoin by selling their purchased shares when the price of Bitcoin has dropped by more than half?

[Actually, I want to know this out of curiosity, how does this actually work]

This is a boat I would say once you on it you have to sail to the end.
They have lost so much compared to just owning Bitcoin
And since MSTR is supposedly a form of leveraged, they can have hope of reducing their loss
If Bitcoin starts performing well rather than jumping out.

Or would it be the right decision to hold on to their shares and wait for a steady income.

Common shareholders don't have that luxury only selected companies for example Coca Cola
Pay their shareholders from their profit sometimes but not an obligation.
They only from share price appreciation and nothing more.

[Actually, I want to know this out of curiosity, how does this actually work]

Not really rocket science
MSTR is like future, it falls more and rise more than Bitcoin.
Now Bitcoin fell around 50% and Mstr has fallen by 75%.
To get to their previous level Bitcoin has to rise around 100%
While MSTR has to rise around 300%.

[nikola22]

Strategy acquired an additional 520 BTC for approximately $34.9 million at an average price of $67 068 per bitcoin between June 15 and June 21. Strategy now holds a total of 847 363 BTC bought at an average price of $75 651 per bitcoin.



https://x.com/saylor/status/2069028571880845340

The latest acquisitions were made using proceeds from at-the-market sales of its Class A common stock (MSTR). Strategy sold 2,714,839 MSTR shares for approximately $335.5 million. Strategy has increased its USD Reserve by $300 million to $1.4 billion and plans to continue replenishing it to support the credit quality of its Digital Credit securities. The pace of Bitcoin purchases has slowed and now more attention is paid to replenishing USD Reserve for dividend payments.

[Free Market Capitalist]

Not really rocket science
MSTR is like future, it falls more and rise more than Bitcoin.
Now Bitcoin fell around 50% and Mstr has fallen by 75%.
To get to their previous level Bitcoin has to rise around 100%
While MSTR has to rise around 300%.

MSTR is more like past.

It worked well as long as the mNAV narrative held—that it was worth paying a high mNAV for Bitcoin treasury companies because it would pay off in the future. That narrative has been completely shattered, and the consensus is that if you buy Bitcoin in a wrapper, the mNAV has to be less than 1 due to company risk—which is what’s happening if you calculate the real mNAV rather than the fake one Saylor introduced in July 2025.

Furthermore, a company like Strategy is shooting itself in the foot by buying more Bitcoin to justify an mNAV greater than 1.

That's why he created the junk preferreds—to find a way out of that situation.

Strategy has increased its USD Reserve by $300 million to $1.4 billion and plans to continue replenishing it to support the credit quality of its Digital Credit securities. The pace of Bitcoin purchases has slowed and now more attention is paid to replenishing USD Reserve for dividend payments.

This is yet another example of Saylor's lies. I think I'm going to start calling him Michael Bullshit. Do you know how many times I've seen him say that his main goal was to work for the common stock shareholders (MSTR)? This means that last week, once again, the company diluted MSTR shareholders to save cash.

I've been investing and following the stock market since early 2010, and I don't recall ever seeing such a deliberate destruction of shareholders' value by a company's management.

[Free Market Capitalist]

Michael Bulshit has finally done it—MSTR is trading below $100.



Camon Michael, you can do it. During the .com bubble you set a historical record for the biggest single-day personal loss. Now you're going to set the record for causing the most damage to your MSTR shareholders in the shortest amount of time.

[Ambatman]

Michael Bulshit has finally done it—MSTR is trading below $100.

As at the time of writing currently 94 and falling with Bitcoin.
STRC would be on hold since that's almost going below $82
I would want to see how he plans on scaling through
Since he was so genius enough to perform an ATM when MSTR was already bleeding.

Likely route he may take since he loves Bitcoin per share so much

...Perform an ATM again to raise capital
...Buy back some STRC to help the price but I doubt they can risk such cash
....Raise STRC rate but I don't think anybody would be moved by rate on a stock that doesn't scream confidence.
...Post an Ai of himself to supposedly encourage the masses.
...Sell some Bitcoin ( he won't be that stupid)
...Pray Bitcoin doesn't go lower.

Camon Michael, you can do it. During the .com bubble you set a historical record for the biggest single-day personal loss. Now you're going to set the record for causing the most damage to your MSTR shareholders in the shortest amount of time.

A shame I don't trade
I have been planning on shorting MSTR since this year.
Another ATM this week seems like their most likely route. [/pre][/list][/list]

[JayJuanGee]

Michael Bulshit has finally done it—MSTR is trading below $100.

Camon Michael, you can do it. During the .com bubble you set a historical record for the biggest single-day personal loss. Now you're going to set the record for causing the most damage to your MSTR shareholders in the shortest amount of time.

Perhaps hindsight is also 20/20 in this particular situation, yet it seems that my frequently ongoing criticism of Saylor/MSTR is that they have many instances in which they cannot leave good enough alone.... yet for sure, there have been abilities to make shit tons of money when leverage is added to an already good bet, but then if you keep adding on the leverage in all kinds of "creative" ways, then the basics become convoluted and hardly anyone continues to understand what is being done - like the Rube Goldberg machine criticism, that also applies to that shitcoin Ethereum.

For example, besides his/MSTR's recent dumbass decision to resolve around $1.4 billion of its debt that was not due until 2029, he could have just not did it, and just said, "we are going to wait this out" and just continue to pay our dividends with the outstanding cash and consider that all of these matters will resolve themselves in way less than "our two years" of runway.  Instead, he took away his liquidity by resolving debt that did not need to be resolved, and then he also wanted to seemingly want to show off by demonstrating that they are still buying bitcoin in relatively large quantities...

So, yeah, in relatively straight-forward ways of looking at an asset like bitcoin versus dollars, if the BTC price continues to fall and the person continues to buy with dollars, at some point the dollars start to run out so maybe the buying cannot really happen in large quantities except as income comes in, yet if income is not really coming in in large quantities, then the dropping period is just waited out until the price of the asset (in this case bitcoin) recovers.  I have done that several times in my bitcoin experience, and Saylor/MSTR seemed to have had been doing some variation of that in 2022.. yeah, I know that after the fact, many of us talk a BIG game about how we were buying the dip, but many times, if there had been buying all the way down the dip, then in somewhat normal circumstances, there tends to not be a whole lot of money to continue to buy if the dip keeps dipping, so it is not like trucks can be backed up to buy tons of bitcoin, but instead maybe some relatively small ongoing nibbles that don't end up adding up to a whole hell of a lot of buying, but still no selling either.. so the stack still is in a way better place as the BTC price starts to revive (and yeah, there is no real reason to conclude that the BTC price is not going to revive, even though the timeline and the intensity of such revival may well be difficult to predict with any level of precision).

...Sell some Bitcoin ( he won't be that stupid)

He could do a one time sale of 30k to 40k bitcoin (which would be $1.5 to $2 billion), and then just apologize for fucking up in regards to all of the complicated products that he had created, and just say that the amount of money raised is for paying dividends in the coming years and maybe even have some structure for buying bitcoin at various points along the way in case it drops.. maybe outlining a buying bitcoin plan down to $30k or so.. even though it is not likely to go there.

But yeah, why come up with a straight-forward plan when convolution seems to be the preferred approach that MSTR and Saylor enjoys taking?

A shame I don't trade
I have been planning on shorting MSTR since this year.

Hindsight is way easier than foresight, and yeah, good thing that you don't trade.  Perhaps if you were trading, you would be even more poor than you are now.  Not that I know your exact status of richness (or poorness).

[fillippone]

The liquidation price is still very far away for Strategy, at about 27,000 USD. But it is nearing.
This price doesn't include Michael Saylor's own private stash.
I don't think we will get there, but in case, the Wall Street guys will want to see Michael Saylor drowning in his own blood.
But again, I believe we will not see that price range. Sub 50, possible. Below, very difficult.
 

[Ambatman]

The liquidation price is still very far away for Strategy, at about 27,000 USD. But it is nearing.
This price doesn't include Michael Saylor's own private stash.
I don't think we will get there, but in case, the Wall Street guys will want to see Michael Saylor drowning in his own blood.
But again, I believe we will not see that price range. Sub 50, possible. Below, very difficult.
 

From what I understand I doubt they have a liquidation price perse
Since majority of their debt are unsecured convertible hence majority can not liquidate the company Bitcoin.
If the price is calculated from debt perspective
Strategy own around $8 Billion in debt and around 847000 Bitcoin
That would place it around $10K per Bitcoin.
But we know it won't be that smooth
Take for example strategy is worth around $30Billion while their Bitcoin is around $50Billion.

He could do a one time sale of 30k to 40k bitcoin (which would be $1.5 to $2 billion), and then just apologize for fucking up in regards to all of the complicated products that he had created

Now that you pointed it out
I'm seeing a potential in this approach in saving their skin
Though common stock would suffer but i doubt he cares about that.
Sell quite some amount and quickly replenish cash reseve
Then take things slowly because things aren't looking good TBH.

[nikola22]

This is yet another example of Saylor's lies. I think I'm going to start calling him Michael Bullshit. Do you know how many times I've seen him say that his main goal was to work for the common stock shareholders (MSTR)? This means that last week, once again, the company diluted MSTR shareholders to save cash.

I've been investing and following the stock market since early 2010, and I don't recall ever seeing such a deliberate destruction of shareholders' value by a company's management.

Saylor has no choice but to pretend the situation is under control. imagine if he says, "That's it, guys, we're completely screwed." I think investors' next steps are clear to everyone and they won't be good for ordinary Bitcoin holders.

in my opinion, Saylor was making a bet of some kind by selling such huge volumes of MSTR and STRC and offering high interest rates on STRC. perhaps he was counting on new Fed chairman easing monetary policy, the passage of a law about the crypto market in the US, clear plans for the US Bitcoin Strategic Reserve, the end of the war in Iran and a drop in oil prices. but we see that he's miscalculated so far, although the situation could change over time. the question is whether Strategy has enough margin of safety.

let's imagine a situation where the Fed rate is 0.25%, the price of oil is $40, the US crypto law is passed and there are clear plans for the US government's Bitcoin reserve. in this case, Saylor's bet would probably pay off and everyone would be talking that he is a real genius. is such a scenario possible? I think it's possible, although it doesn't seem very likely right now.




and now the situation with MSTR and STRC is even worse.

[Free Market Capitalist]

Well, first of all, friends I want to share this here.

Rosen Law Firm Launches Probe Into MicroStrategy

Rosen Law Firm has launched an investigation into Strategy (formerly MicroStrategy), inviting investors who purchased the company's securities to participate in a potential class action lawsuit.

The law firm said it is examining whether Strategy and certain executives made materially misleading statements regarding the company's business operations, Bitcoin treasury strategy, profitability, and the risks associated with its aggressive Bitcoin accumulation model.
Details of the MicroStrategy Probe

The investigation covers several Strategy-linked securities, including MSTR, STRF, STRC, STRK, and STRD. Rosen has created a dedicated webpage allowing affected investors to join the probe.

I am not surprised about this.

So, yeah, in relatively straight-forward ways of looking at an asset like bitcoin versus dollars, if the BTC price continues to fall and the person continues to buy with dollars, at some point the dollars start to run out so maybe the buying cannot really happen in large quantities except as income comes in, yet if income is not really coming in in large quantities, then the dropping period is just waited out until the price of the asset (in this case bitcoin) recovers.  I have done that several times in my bitcoin experience, and Saylor/MSTR seemed to have had been doing some variation of that in 2022.. yeah, I know that after the fact, many of us talk a BIG game about how we were buying the dip, but many times, if there had been buying all the way down the dip, then in somewhat normal circumstances, there tends to not be a whole lot of money to continue to buy if the dip keeps dipping, so it is not like trucks can be backed up to buy tons of bitcoin, but instead maybe some relatively small ongoing nibbles that don't end up adding up to a whole hell of a lot of buying, but still no selling either.. so the stack still is in a way better place as the BTC price starts to revive (and yeah, there is no real reason to conclude that the BTC price is not going to revive, even though the timeline and the intensity of such revival may well be difficult to predict with any level of precision).

Well, I thought Strategy was in a unique position to weather this bear market, just as it did in 2022, unlike other copycats, but the way things stand, I wouldn’t be surprised if major events unfolded as early as this year. As you say, it doesn’t look like they’re going to raise a lot of money to keep buying the dip. That’s Strategy’s main problem—it’s very easy for them to raise money in bullish markets, but not when Bitcoin falls.

From what I understand I doubt they have a liquidation price perse

I don't think they have a liquidation price. They are not exposed to a margin call. The problem is rather that if MSTR and STRC continue to fall, just like the price of Bitcoin—and thus the main asset they rely on to sustain their model—they could enter a death spiral.

[JayJuanGee]

The liquidation price is still very far away for Strategy, at about 27,000 USD. But it is nearing.
This price doesn't include Michael Saylor's own private stash.
I don't think we will get there, but in case, the Wall Street guys will want to see Michael Saylor drowning in his own blood.
But again, I believe we will not see that price range. Sub 50, possible. Below, very difficult.

With paper bitcoin anything can be possible.

Remember in 2022, we got as low as 35.68% below the 200-WMA on the day that bitcoin had reached its $15,479 low on the 22nd of November or right around that date when the 200-WMA was then at $24,064.

Right now, the 200-WMA is at right about $62,364, so 36% below it would be $39,913, and surely I would also consider to be difficult (and perhaps dangerous for paper bitcoin manipulators) to achieve - even with a bunch of paper bitcoin.

He could do a one time sale of 30k to 40k bitcoin (which would be $1.5 to $2 billion), and then just apologize for fucking up in regards to all of the complicated products that he had created

Now that you pointed it out
I'm seeing a potential in this approach in saving their skin
Though common stock would suffer but i doubt he cares about that.
Sell quite some amount and quickly replenish cash reseve
Then take things slowly because things aren't looking good TBH.

Of course, neither you are I are in charge of MSTR, and surely even Saylor likely has to convince the other board members (and the attorneys) that whatever he proposing to do is a good idea, including that Saylor might have a bit of a "god-wannabe complex."

And, it seems that sometimes it might be better to take an "L" and just come out with a strong plan.

He could even sell something close to the $8 billion amount that you had mentioned (which would be around 145k bitcoin - which might be hard to sell without having some impact on the BTC price), and just say that they will continue to buy all the way down, but just keep that $8 billion in cash in case that the price falls and perhaps even outline specific amounts that they are going to buy with on the way down (if it goes down) and then other amounts that are specifically in place to pay the dividends.

We know that the dividends are completely not compulsory, but confidence would be greatly lost if he either stopped paying them or if he reduced the rate of payment out of his own desires to "preserve the BTC."

MSTR/Saylor got their lil selfies in a pretty BIG pickle, and the various shorters of MSTR and/or haters of BTC would just love to ram the bitcoin price down to teach Saylor/MSTR a lesson, like fillippone had mentioned above.

Dumb lil me believes that if they come up with a decent plan that both covers buying on the way down (in the event that it goes down) and also covering dividends without diluting various interest holders and without making up various deceptive newly invented (and convoluted) marketing metrics, then it is quite likely that confidence could be possible to return to their various derivative BTC products and shares.

[Taskford]

Just newly read this information and I don't know if someone already shared this information in this thread.

AIMCo is one of Canada’s largest institutional investment managers, overseeing pension, endowment and sovereign-style assets on behalf of the Alberta government and a number of public-sector clients. The decision to take a sizeable equity position in Strategy – the renamed corporate vehicle once known as MicroStrategy – represents a meaningful indirect exposure to Bitcoin, given that Strategy is widely viewed as a near pure-play BTC vehicle on traditional capital markets.

More from this link https://imperialwealth.com/news/alberta-investment-management-corporation-buys-219-million-worth-of-microstrategy-shares-in-first-bitcoin-treasury-allocation

If they want to adopt why buy $MSTR? while they can actually buy Bitcoin directly. By buying they have full control of their bought Bitcoins. They don't need middleman to invest on Bitcoin and hope they realize that in future.

[Primark]

Just newly read this information and I don't know if someone already shared this information in this thread.

AIMCo is one of Canada’s largest institutional investment managers, overseeing pension, endowment and sovereign-style assets on behalf of the Alberta government and a number of public-sector clients. The decision to take a sizeable equity position in Strategy – the renamed corporate vehicle once known as MicroStrategy – represents a meaningful indirect exposure to Bitcoin, given that Strategy is widely viewed as a near pure-play BTC vehicle on traditional capital markets.

More from this link https://imperialwealth.com/news/alberta-investment-management-corporation-buys-219-million-worth-of-microstrategy-shares-in-first-bitcoin-treasury-allocation

If they want to adopt why buy $MSTR? while they can actually buy Bitcoin directly. By buying they have full control of their bought Bitcoins. They don't need middleman to invest on Bitcoin and hope they realize that in future.

From an investor's perspective and from the basic philosophy of Bitcoin,it's best to buy Bitcoin and hold it in your own custody.Because it allows you to control your assets without the intermediary of another company. But for a company as large as AIMCo,the strategy is probably to get its shares in Bitcoin through the traditional financial system. Since they have pensions, government funds, and large clients to manage their money,buying shares in listed companies may be easier for them in some ways than holding Bitcoin in custody. For example,it may be easier in terms of accounting and risk management. Their rules may be set up this way.

[fillippone]

Just newly read this information and I don't know if someone already shared this information in this thread.

AIMCo is one of Canada’s largest institutional investment managers, overseeing pension, endowment and sovereign-style assets on behalf of the Alberta government and a number of public-sector clients. The decision to take a sizeable equity position in Strategy – the renamed corporate vehicle once known as MicroStrategy – represents a meaningful indirect exposure to Bitcoin, given that Strategy is widely viewed as a near pure-play BTC vehicle on traditional capital markets.

More from this link https://imperialwealth.com/news/alberta-investment-management-corporation-buys-219-million-worth-of-microstrategy-shares-in-first-bitcoin-treasury-allocation

If they want to adopt why buy $MSTR? while they can actually buy Bitcoin directly. By buying they have full control of their bought Bitcoins. They don't need middleman to invest on Bitcoin and hope they realize that in future.

This is a nonsense.
Buying Strategy shares means buying shares at a 10% premium over the treube market mean of Bitcoin. This is something that would make your investors very angry, when you have more legitimate ways of getting exposure.
Hopefully, the damage is limited to that 10%....

[The Sceptical Chymist]

It worked well as long as the mNAV narrative held—that it was worth paying a high mNAV for Bitcoin treasury companies because it would pay off in the future. That narrative has been completely shattered, and the consensus is that if you buy Bitcoin in a wrapper, the mNAV has to be less than 1 due to company risk—which is what’s happening if you calculate the real mNAV rather than the fake one Saylor introduced in July 2025.

I've been into the stock market since the 1990s, but I'm not claiming to be any sort of expert.  But when I started to see new metrics like mNAV (and please correct me if that one didn't pop up in the last year or so) being employed, the cynic in me started thinking 'we're in a state of insanity with this crypto treasury shit'.  Only Wall Street would invent new jargon to *ahem* attempt to baffle investors with BS when there's no genuine brilliance to dazzle them with.  Not even medicine or computer science does this, lol.

'Bitcoin in a wrapper'.  That phrase is so apt, and goddamn this is one hell of an expensive wrapper.

This is a nonsense.
Buying Strategy shares means buying shares at a 10% premium over the treube market mean of Bitcoin. This is something that would make your investors very angry, when you have more legitimate ways of getting exposure.
Hopefully, the damage is limited to that 10%....

Can you think of any reason why a big investor would not just buy bitcoin outright?  I have to assume AIMCo did its due diligence and isn't stupid with money and is aware of everything you just pointed out--it's an assumption, yes, but for a big money manager I don't think it's an outrageous one.  There must have been a reason, even if it would seem illogical if they stated it publicly, and I'm curious as to what that reason might be.

[Ambatman]

This is a nonsense.
Buying Strategy shares means buying shares at a 10% premium over the treube market mean of Bitcoin. This is something that would make your investors very angry, when you have more legitimate ways of getting exposure.
Hopefully, the damage is limited to that 10%....

This is not really a new news and happened around April
They were in unrealized profit as at may then and if they still own the 1.38 million shares @$158.7
Then now their share value should be around $114 Million.

Can you think of any reason why a big investor would not just buy bitcoin outright?  I have to assume AIMCo did its due diligence and isn't stupid with money and is aware of everything you just pointed out--it's an assumption, yes, but for a big money manager I don't think it's an outrageous one.  There must have been a reason, even if it would seem illogical if they stated it publicly, and I'm curious as to what that reason might be.

They are not the only institutions that have subscribed to MSTR
RBC and CPPIB (a pension board also) have long subscribed to owning MSTR.
I would have chosen that it's the limited regulations on crypto or complexity with custody that made them option for MSTR
But ETFs are there but lack leverage and has its fee
Except well they have considered the risk worth it and wouldn't affect their large portfolios that are in hundreds of billions.
Not to mention it's easier to go with a public company share than an alternative since its more 'traditional'