Strategy Inc. has reported a staggering net loss of $12.54 billion for the first quarter of 2026, a figure that has raised eyebrows across financial markets. This dramatic loss is largely attributed to a massive $14.46 billion unrealized loss resulting from a significant drop in Bitcoin’s value, which plummeted to $62,000 amidst the geopolitical turmoil of the United States-Israel-Iran war.
Despite this adverse financial landscape, Strategy Inc. adopted an aggressive stance on Bitcoin acquisition during the same quarter. The company purchased 89,599 BTC at an average price of $80,900, amounting to $7.3 billion. This move has fortified their holdings to 818,334 Bitcoin, representing about 3.9% of the total future Bitcoin supply, with a cumulative cost basis of $61.81 billion.
Analyst Taiki Maeda observed that the company’s bold purchasing strategy is poised to continue. He anticipates an additional $2 billion to $3 billion in Bitcoin purchases over the two weeks leading up to the May 14 ex-dividend date. This projection aligns with previous purchasing cycles, where the company invested $1.54 billion and $3.47 billion in March and April, respectively. The recent release of earnings results has cleared the pathway for these anticipated acquisitions.
However, the landscape may be shifting towards a more balanced approach regarding Bitcoin management. Executive Chairman Michael Saylor hinted at the possibility of selling portions of their Bitcoin holdings to fund dividends, indicating a strategic pivot. Saylor remarked, “We will probably sell some Bitcoin to fund a dividend just to inoculate the market — just to send the message that we did it.”
President and CEO Phong Le elaborated on this operational change, stating that the company is now contemplating selling Bitcoin to finance dividends, repurchase convertible debt, or bolster its USD reserves, depending on market conditions. “We will sell Bitcoin when it is advantageous to the company,” he affirmed, signaling a departure from the prior stance of exclusively buying.
Saylor further characterized these potential sales as an intelligent maneuver akin to a real estate developer selling land at a profit, indicating not a retreat from their core strategy but rather a refined approach. He highlighted that the company possesses approximately $2.2 billion in unrealized tax benefits linked to its high-cost-basis Bitcoin, which could be harnessed through strategic sales.
This is not the first instance of the company hinting at selling Bitcoin. In December 2022, while still operating under the name MicroStrategy, the firm sold about 704 BTC for approximately $11.8 million at an average price of $16,776 per Bitcoin. Following this, the company repurchased 810 BTC for $13.6 million shortly after, further demonstrating their dynamic strategy regarding Bitcoin assets.
At the time of the report, Strategy’s stock was trading 1.56% lower at $183.99 in pre-market hours, reflecting the market’s uncertainty following the news of the substantial loss and shifting strategies.
