Strategy Sells 1,638 Bitcoin for $105M, Splits Proceeds Between Dividends and STRC Buyback

Strategy sold 1,638 bitcoin for $104.73 million between July 27 and Aug. 2, an average of $63,957 a coin net of fees, and used the money to cover preferred stock dividends and buy back its own STRC shares, according to a Form 8-K filed Monday.

The company said $52.4 million of the proceeds funded dividends on its preferred stock and $52.3 million funded STRC repurchases under the Digital Credit Securities Repurchase Program.

The sale price sat about 15% below the $75,419 average cost of the coins Strategy still holds. After the sale, the company owns 842,138 bitcoin acquired for $63.51 billion. Bitcoin traded around $63,714 on Monday, up roughly 1% on the day and down 1.4% over seven days, about 49% below the October 2025 record of $126,080, according to CoinGecko.

Strategy also disclosed a larger cash buffer. Its USD Reserve, which the company maintains to support preferred dividends and debt interest, stood at $4.0 billion as of Aug. 2, including expected proceeds from ATM shares sold but not yet settled. The reserve was $3.0 billion as of July 12.

The increase came from stock sales rather than operations. Strategy sold 3,011,361 MSTR shares in the week for $290.6 million in net proceeds, directing $250 million to the USD Reserve, $28.9 million to STRC repurchases and $11.7 million to its cash balance. It sold no preferred shares under its ATM programs.

The company bought back 912,143 STRC shares for $81.2 million during the week, leaving $893.8 million of authorization under the repurchase program it announced on June 29. It repurchased no MSTR stock, leaving $1.0 billion available under that separate program.

STRC carries the cost that the sales are servicing. Strategy said on July 31 that it will hold the annual dividend rate on the stock at 12.00% for semi-monthly periods beginning on or after Aug. 16, and its board declared semi-monthly cash dividends of $0.50 a share payable Aug. 31 and Sept. 15.

Monday's filing extends a pattern that began at the end of June, when Strategy announced a BTC Monetization Program allowing it to sell bitcoin from time to time, including to generate up to $1.25 billion of proceeds for the USD Reserve. The company sold 1,363 bitcoin for $80.8 million on June 29 and 30, then 3,588 coins for $216 million across the turn of the month, including 2,225 bitcoin for $135.2 million in the first days of July.

Strategy has not reported a bitcoin purchase since June, having skipped buying in recent weeks while continuing to sell equity.