Bitcoin : Strategy continues its acquisitions despite the volatility

The storm shaking the crypto market does not stop Strategy (formerly MicroStrategy) from continuing its crusade to accumulate more and more bitcoin. Between the price drop below 108,000 dollars, the decline of the MSTR stock, and investor dissatisfaction, the company led by Michael Saylor remains faithful to its plan. The shocks, occasional losses, or criticisms have never discouraged this giant from expanding its BTC reserve, even if it means breaking the established rules.

Bitcoin: smaller purchases but a gigantic reserve

Yesterday, Strategy by Michael Saylor bought 4,048 BTC for 449.3 million dollars, according to a document sent to the SEC. This brings its monthly purchases to 7,714 BTC, far from the 31,466 BTC recorded in July. The difference in pace is intriguing, but the size of the reserve remains spectacular: 636,505 BTC, valued at nearly 46.95 billion dollars at an average price of 73,765 $ per unit.

The company financed these purchases through its stock issuances, known as “ATM offerings.” This mechanism, sometimes considered aggressive, remains the main lever used by Saylor to turn the stock market into a bitcoin accumulation machine. 

This logic reflects a simple conviction: faced with volatility, one must not slow down but reinforce positions. Many see this as blind stubbornness, others salute an iron discipline that made Strategy an essential player in the crypto industry.

Between skeptics and supporters: the battle around dividends and dilution

Since the publication of its record results in the second quarter, the company has seen its MSTR stock price fall by 16%, dropping to 339 dollars. At the same time, the dividend was raised from 9% to 10%, a move interpreted as an attempt to attract investors. But the debate is fierce.

On X, a commentator summarizes the absurdity of the move: 

A 10% dividend seems brilliant until you realize it is a fiat yield on a melting ice cube. Wall Street keeps its coupons, but bitcoin rewrites the balance sheet. Dividends are taxed, devalued, and revalued. Bitcoin, on the other hand, compounds its purchasing power forever. One is theater, the other is escape velocity.

Benchmark analysts, however, defend Saylor’s strategy. According to them, the pressure on MSTR results from a shrinking premium relative to bitcoin holdings and not from mismanagement.

A crypto giant at the gates of the S&P 500

The issue goes beyond the dividend question alone: Strategy could join the S&P 500 at the next rebalancing in September. The company meets the formal criteria, with positive earnings and solid capitalization. 

But the dependence on unrealized capital gains on bitcoin is problematic. The committee could consider these revenues too volatile to be considered sustainable.

Benchmark insists nonetheless: “We continue to view MSTR as the simplest and most liquid way to benefit from bitcoin’s rise without taking mining risk“. 

Key points to remember

• 636,505 BTC held by Strategy;
• 7,714 BTC bought in August, compared to 31,466 in July;
• 16% drop in MSTR stock after Q2 results;
• Dividend raised to 10%, considered artificial by some investors;
• Application to the S&P 500, a major institutional issue for the crypto industry.

While Strategy builds itself as a bitcoin fortress, another giant is emerging on Ethereum. Sharplink recently acquired 39,008 ETH for 177 million dollars, at an average price of 4,531 $ per token. This shows that appetite for strategic reserves is gaining the entire sector, and that the accumulation battle is no longer fought on a single front.