MicroStrategy Buys Back $108.6M in STRC Shares Through BTC Sale
Vexoda Newsroom
MicroStrategy sold 1,690 Bitcoin to repurchase STRC shares and bolster its US dollar reserve. The move highlights the company's strategy of using digital assets for treasury management.
In a significant financial maneuver, MicroStrategy has sold 1,690 Bitcoin (BTC) worth $108.6 million between August 3rd and 9th to repurchase STRC preferred stock shares. This marks the company's fourth disclosed BTC sale of 2026.
The transaction involved using the proceeds from the BTC sale to buy back 1,150,000 shares of MicroStrategy’s STRC (MicroStrategy Structured Trust Certificate) for $108.6 million. STRC is a variable-rate preferred stock designed to provide monthly dividends to investors.
This strategy has been part of MicroStrategy's ongoing efforts to manage its Bitcoin treasury and fund operations through the sale of digital assets. The company currently holds 840,447 BTC with an average purchase price of $75,385 per BTC, including fees and expenses.
Additionally, MicroStrategy’s US dollar reserve has grown significantly, reaching $4.65 billion as of August 10th, up from approximately $4 billion the previous week. The company also retains another $1 billion available for share repurchase under its Class A common-stock program.
The market reaction to this move was positive; STRC shares rallied, retaking $90 after rebounding 24% from their June lows. MicroStrategy’s stock (MSTR) gained 0.25% to $100.26 in premarket trading on August 10th.
This transaction underscores the growing trend of companies using digital assets as part of their treasury management strategy, particularly for those holding significant Bitcoin reserves like MicroStrategy. It also highlights the interplay between traditional financial instruments and cryptocurrency holdings within corporate operations.
Traders should continue to monitor MicroStrategy’s future BTC sales and STRC buybacks, as well as any changes in its US dollar reserve balance. The company is expected to file further updates on these activities through regulatory filings.
Source: Cointelegraph. Summarized and rewritten by the Vexoda Newsroom. This is market news, not financial advice.