Strategy Sells 1,638 Bitcoin to Fund Dividends and Repurchase STRC
Vexoda Newsroom
MicroStrategy sold 1,638 BTC in its second-largest sale of the year for $104.7 million to fund dividends on STRC preferred stock and repurchase shares.
Michael Saylor’s MicroStrategy has completed a significant Bitcoin (BTC) sale, selling 1,638 coins between July 27 and August 2 at an average price of $63,957 for a total of approximately $104.7 million. This transaction marked the company's second-largest BTC sale in 2026.
Of the proceeds from this sale, MicroStrategy allocated half to fund dividend payments on its STRC preferred stock ($52.4 million) and the other half towards repurchasing STRC shares ($52.3 million). As a result of these transactions, MicroStrategy’s Bitcoin holdings now total 842,138 coins with an aggregate cost basis of $63.5 billion.
The sale comes in the context of ongoing efforts by Saylor and his team to manage cash reserves while maintaining their aggressive Bitcoin accumulation strategy. Previously, on July 6, MicroStrategy sold approximately 3,588 BTC for about $216 million, with a similar split between dividends and stock repurchases.
To bolster its financial position, the company also reported selling MSTR shares worth around $290 million during this period. Of these proceeds, $250 million was used to increase its USD reserve to $4 billion, while another portion ($28.9 million) funded additional STRC repurchases and an additional $11.7 million went into the company’s cash balance.
The sale of Bitcoin at a time when MicroStrategy’s STRC stock is trading below par (at 10.6% below its intended value), highlights the ongoing challenges faced by Saylor in balancing dividend payments with maintaining share price stability and accumulating more BTC.
This strategic move underscores MicroStrategy's commitment to both rewarding shareholders through dividends while also repurchasing shares at what it deems a favorable price point, thereby potentially increasing shareholder value. However, critics argue that such sales could be seen as negative for the company’s long-term accumulation goals if done too frequently.
Moving forward, traders and investors should closely monitor MicroStrategy's future Bitcoin sales and dividend payments to gauge the sustainability of its strategy in light of current market conditions.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.