Strategy sells 32 Bitcoin to fund preferred dividend

Strategy, the corporate Bitcoin holding company led by Michael Saylor, sold 32 Bitcoin in late May, marking its first sale of the cryptocurrency since 2022. The transaction, disclosed in a June 1 regulatory filing, generated approximately $2.5 million, which the company stated would be used to fund dividend distributions on its preferred stock.

The sale represents a minuscule fraction of the company’s vast holdings, amounting to roughly 0.004% of its 843,706 Bitcoin. Despite the small scale, the move attracted significant market attention due to Saylor’s longstanding public commitment to a “never sell” strategy. Following the disclosure, Bitcoin’s price declined to near two-month lows, briefly trading around $67,000, while Strategy’s stock fell approximately 5%.

Company officials and analysts characterized the sale as a tactical financial decision, not a strategic shift. According to the filing, the proceeds are earmarked for obligations on the company’s STRC perpetual preferred stock. In the same week, Strategy raised $128.3 million through an at-the-market common stock offering and reported holding a cash reserve of about $900 million. An analyst described the Bitcoin sale as...