Key Insights:
- Strategy used $139.3M in USD Cash to repurchase 1.42M STRC shares.
- Bitcoin holdings stayed at 845,050 BTC, with no purchases, sales, or ATM issuance.
- The $2B digital credit program retains $1.05B of available buying capacity.
Last week, Strategy chose to focus on preferred stock instead of acquiring fresh Bitcoin. Between September 8 and September 13, the company bought back $139.3 million worth of STRC shares using USD Cash, totaling 1,420,467 units. Throughout this timeframe, the firm issued no common shares through at-the-market sales.
For the second consecutive week, Bitcoin reserves remained unchanged at 845,050 BTC. The cumulative cost for these coins stands at $63.73 billion, or $75,412 per coin. Furthermore, the firm disclosed holding $5.10 billion in its USD Reserve alongside $1.30 billion in USD Cash, indicating that this move was a balance-sheet maneuver rather than a shift in its core crypto strategy.
Strategy Directs USD Cash Toward STRC Stock Buybacks
The regulatory filing distinguishes between the organization’s two distinct dollar reserves. The USD Reserve is earmarked for covering preferred dividends and debt interest, whereas USD Cash is designated for acquiring Bitcoin and fulfilling broader capital-management objectives. For this recent STRC repurchase, the company drew directly from its USD Cash allocation.
Based on the total disclosed expenditure, the acquisition price averaged approximately $98 per share, compared to STRC’s $100 stated value. Management notes that purchasing shares at a discount can lower upcoming dividend obligations and strengthen credit metrics, though these outcomes depend on execution prices and market fluctuations.
STRC stands for Variable Rate Series A Perpetual Stretch Preferred Stock. This latest transaction follows a prior $176.3 million STRC buyback during the preceding reporting cycle. Additionally, on September 8, the board scaled up the Digital Credit Securities Repurchase Program to a $2 billion limit.
This initiative encompasses several preferred securities, including STRC, STRF, STRK, and STRD. It does not impose mandatory buying quotas and has no fixed expiration date, leaving Strategy free to alter, pause, or cancel the authorization at its discretion.
Bitcoin Holdings Stay Flat While MSTR Stock Tracks Risk
The update confirms no Bitcoin acquisitions or divestments occurred for a second straight week. The current hoard of 845,050 BTC accounts for over 4% of Bitcoin’s total 21 million supply limit. Including all associated fees and expenses, the recorded cost basis is fixed at $63.73 billion.
Because the filing excludes the present market valuation of the digital assets, the reserve maintains direct sensitivity to BTC price movements. Per TradingView data, MSTR stock finished Friday down 4.7% for the week at $130.97, while Bitcoin dropped 3.9% over the same period.
While fluctuations in Bitcoin’s price influence the value of the reserve, equity calculations are driven by preferred dividends and overall capital market trends. The report did not offer any timeline or projections regarding upcoming Bitcoin purchases.
Furthermore, Strategy refrained from buying back any MSTR stock between September 8 and September 13. Its separate common-stock buyback authorization remains capped at $1 billion, which the company can tap into if executives believe MSTR shares are trading below their intrinsic value. The firm also did not issue any MSTR shares through its at-the-market facility during this timeframe.
Strategy Buyback Program Leaves Room for More Action</h2
As of September 13, Strategy retained $1.05 billion in remaining capacity under the Digital Credit Securities Repurchase Program. This leaves ample flexibility for further STRC acquisitions, though the available funds do not obligate the company to execute any additional trades.
Execution methods at the firm’s disposal include open-market purchases, block trades, privately negotiated deals, tender offers, and exchange offers. Decisions are guided by prevailing market conditions, liquidity levels, regulatory constraints, and the trading valuations of the targeted securities.
Management has designated STRC as its primary focus whenever buybacks are accretive, targeting a long-term trading level near its $100 stated value. Nonetheless, the organization explicitly notes that it cannot guarantee any specific trading range or price performance.
Executives also assess the STRC dividend rate on a monthly basis, weighing factors such as STRC trading prices, prevailing market yields, credit spreads, Bitcoin valuations, and market volatility. These evaluations also factor in USD Reserve coverage and the broader capital structure.
Ultimately, the recent disclosure verifies that cash reserves—rather than any liquidation of Bitcoin—funded the $139.3 million outlay, keeping the digital asset portfolio untouched while shrinking the circulating volume of STRC stock.
Frequently Asked Questions
- How much did Strategy spend to repurchase STRC shares? Strategy deployed $139.3 million in USD Cash to buy back 1,420,467 shares of STRC stock.
- Did Strategy purchase any Bitcoin during the reporting period? No, Bitcoin holdings remained completely flat at 845,050 BTC with no new buys or sells.
- What is the remaining capacity of the digital credit repurchase program? The company retains $1.05 billion in available buying capacity under its $2 billion digital credit program.
- Did Strategy buy back any MSTR common stock? No common stock buybacks or at-the-market share sales took place between September 8 and September 13.
Arnold Kirimi 
