Morning Minute: Saylor Sells Bitcoin Again

Key Points:

• Strategy sold 1,638 BTC for $104.7 million at an average price of $63,957, realizing a loss compared to its $75,419 cost basis, and also sold $291 million in MSTR shares to support its preferred stock.
• Proceeds were allocated to dividends on preferred stock ($52.4 million), a buyback of STRC preferred shares ($52.3 million), and cash reserves, boosting cash to $4 billion and extending runway to 2.3 years.
• Strategy’s preferred stock (STRC) has traded below its $100 par value since mid-May, prompting the company to sell Bitcoin at a loss and dilute common shareholders to prop up preferred shares, signaling financial strain.
• Bitcoin price remained flat despite negative news including a $100M+ Coldcard hack and Strategy’s large BTC sale, suggesting diminished market sensitivity to bad news at this stage of the cycle.
• In broader markets, crypto majors and stocks showed gains, with initiatives like Solana’s fee-burn proposals and BlackRock’s tokenized money market funds indicating ongoing innovation and institutional interest in crypto assets.