Key Takeaways
Strategy Inc. reversed its long-held Bitcoin accumulation-only strategy on May 5, with its chief executive saying the firm may now sell the crypto asset to boost shareholder value.
"Our ability to sell bitcoin either to buy U.S. dollars or sell bitcoin to buy debt if it's accretive to bitcoin per share is something that we would consider doing going forward," Phong Le, President and CEO of the company, said on an earnings call.
The policy change comes as Strategy reported a $12.54 billion net loss for the first quarter of 2026, a figure almost entirely composed of a $14.46 billion unrealized loss on its digital assets. The company holds 818,334 BTC, acquired at an average price of $75,537.
The move marks a significant maturation from the 'never sell' philosophy championed by founder Michael Saylor, introducing potential future sell pressure from one of Bitcoin's largest corporate holders. However, the firm frames the move as a tool for active balance sheet management, a strategy that could influence how other corporations approach their crypto treasuries.
As of May 3, Strategy's Bitcoin stash had a market value of approximately $66.8 billion against a cost basis of $61.81 billion. Despite the significant paper loss in the first quarter, the company's common stock (MSTR) has surged nearly 56 percent in the last month as Bitcoin's price rebounded. The firm's preferred equity instrument, STRC, has also seen strong demand, raising $5.58 billion in a 189 percent year-over-year increase.
Strategy's underlying software business remains a small but stable part of its operations, with revenues of $124.3 million for the quarter, up 11.9 percent year-over-year.
This article is for informational purposes only and does not constitute investment advice.
