Strategic Stops Bitcoin Purchases for Three Weeks Despite Raising $467 Million

Strategic (MSTR) raised $467 million through a stock offering but has not used the funds for Bitcoin purchases, marking three consecutive weeks without additional buys. According to blockchain media Decrypt, the company's cash reserves hit a record $3 billion. The firm converted the entire raised capital into cash, securing liquidity to withstand over 20 months of annual dividend and interest obligations. Recent capital market focus shifted from Bitcoin purchases to strengthening balance sheet liquidity. The company's last Bitcoin purchase was on June 22, and proceeds from subsequent Bitcoin sales amounted to only $215 million, less than half the stock offering. Equity issuance now plays a larger role in cash generation. Shareholders face dilution as Strategic uses common stock issuance to fund preferred dividend payments, with MSTR shares down 4% to $90.80 and 18% lower over the last month. The company's Bitcoin holdings, averaging $75,476 per coin, now incur an estimated $11 billion evaluation loss as Bitcoin prices remain below $62,600.