The largest corporate Bitcoin treasury redirected capital from BTC accumulation to preferred-share repurchases, buying back $176 million of STRC stock and expanding its buyback program to $2 billion. Holdings remain at 845,050 BTC as peer treasuries Strive and Capital B stepped up their own purchases.
Strategy repurchased $176 million of STRC preferred stock and doubled its digital securities buyback program to $2 billion, pausing weekly Bitcoin buys.
The company bought back 1.8 million STRC shares for $176.3 million between Aug. 31 and Sept. 7, according to a Tuesday filing with the US Securities and Exchange Commission. The repurchase is the second tranche under the Digital Credit Securities Repurchase Program, which Strategy expanded from $1 billion to $2 billion.
With no new purchases, Strategy's holdings sit at 845,050 Bitcoin (BTC), acquired for $63.6 billion at an average price of $75,412 apiece. Last week, the company made its first BTC buy since mid-June with a $370 million purchase. STRC traded at $97.70 in premarket activity Tuesday, a 2.3 percent discount from its $100 par value, while Nasdaq-listed MSTR common stock fell more than 3 percent.
STRC is one of Strategy's primary vehicles to fund Bitcoin accumulation. Trading below par limits the company's ability to raise fresh capital through STRC sales and may force further increases to its dividend rate. Strategy unveiled a capital framework on June 29 that allows Bitcoin sales to fund dividends and raised the annual dividend rate on STRC preferred stock to 12 percent.
The pause in Strategy's buying comes as other corporate treasuries accelerated their own accumulation. Strive, the fifth-largest corporate Bitcoin treasury, acquired 1,375 BTC for $109 million at an average cost of $79,281 per coin, bringing total holdings to 24,531 BTC, CEO Matt Cole said Monday. France-listed Capital B also disclosed a $25 million Bitcoin purchase Monday, its largest in nearly a year.
Prediction markets show traders still expect STRC to reach its $100 par value by year-end, with YES pricing at 77.5 percent as of Tuesday, down from 78 percent a day earlier and 82 percent a week ago. The September 30 timeline carries a 31.5 percent YES probability.
The capital allocation shift carries implications for Bitcoin's demand profile. Strategy has historically been the largest known corporate BTC buyer, and its decision to prioritize preferred-share repurchases over new accumulation removes a recurring source of buy-side pressure. Whether the pause extends beyond this week will depend on STRC's recovery toward par and the company's ability to resume raising capital through preferred issuance.
This article is for informational purposes only and does not constitute investment advice.
