Strategy, the prominent software corporation, has dismantled key financial restrictions to fuel its ambitious cryptocurrency acquisition strategy. In a bold move, the company recently overhauled its capital-raising policies and immediately deployed this newfound flexibility by purchasing an additional $51.4 million worth of Bitcoin.
Breaking Free From Capital Constraints
The company eliminated a critical limitation on share issuance that previously prevented new equity offerings when its stock traded below 2.5 times its Bitcoin net asset value per share—except for specific debt or dividend purposes. This restriction had potentially hindered fundraising during market downturns.
Under the revised guidelines, Strategy can now issue shares regardless of this valuation threshold. This policy shift directly addresses the narrowing premium between the company’s share price and its underlying digital asset holdings. By removing this barrier, the firm ensures continuous access to capital for future Bitcoin purchases irrespective of market conditions.
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Doubling Down on Digital Assets
The policy change coincided with Strategy’s latest cryptocurrency acquisition—430 Bitcoin valued at approximately $51.4 million. This brings the company’s total holdings to 629,376 BTC.
Despite recent market headwinds that saw both Strategy’s stock and Bitcoin prices decline, the company remains committed to its accumulation strategy. The latest purchase was executed at an average price of $119,666 per Bitcoin, bringing the cumulative average acquisition cost to $73,320 per coin.
This aggressive buying approach underscores Strategy’s conviction in its long-term cryptocurrency strategy, even as short-term market sentiment remains mixed. The simultaneous policy revision and substantial Bitcoin purchase demonstrate the company’s determination to maintain its position as a major institutional holder of digital assets.
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