Michael Saylor’s company, now known as Strategy Inc., has ramped up its Bitcoin acquisition efforts with a substantial purchase of nearly $1.3 billion—marking the largest buy in seven weeks. This latest move involved acquiring 17,994 Bitcoin between March 2 and March 8, as detailed in a recent regulatory filing. The funding for this acquisition was primarily sourced from the sale of Class A common stock, contributing around $900 million, while approximately $377 million, which constitutes about 30% of the total, was obtained through at-the-market sales of the company’s “Stretch” preferred shares, sold at a discount.
This acceleration in buying contrasts sharply with the previous week, where a mere 3% of the funding came from the Stretch shares, despite management’s prior intentions to focus on these preferred shares for financing. Analysts suggest that while there is a push to promote the Strip as a high-yield investment option, the initiative is still in early development stages. Mark Palmer of Benchmark, who has a “buy” rating on the company, noted, “We expect STRC to emerge as Strategy’s primary funding vehicle as demand increases.”
Benchmark operates within a syndicate that assists in the sale of Strategy’s common and preferred shares to investors. In total, the company has raised around $1.7 billion from common stock sales and an additional $470 million through its perpetual preferred shares over the seven weeks leading up to this acquisition. It’s crucial to recognize that continually issuing common stock tends to dilute existing shareholders’ stakes.
The preferred shares, introduced in 2025, offer Saylor a method to continue expanding Bitcoin holdings without further affecting current common stock shareholders. These shares yield 11.5% annually, a rate that has been adjusted multiple times since the launch, thus appealing to investors. The ongoing strategy hinges on Bitcoin’s price appreciation exceeding the growth of Strategy’s financial obligations. Currently, the firm holds a cash reserve of about $2.25 billion.
The most recent Bitcoin purchase averaged nearly $76,000 each, which is a premium over Bitcoin’s trading price of roughly $69,000 on that Monday. The organization’s overall average purchase price now sits at about $71,000. Nevertheless, investors may find the stability of the Stretch shares appealing given the cryptocurrency’s volatile performance during late 2025, which included a significant selloff impacting crypto-centric balance sheets.
Bitcoin’s price has demonstrated significant volatility this year, temporarily surpassing $73,000 last week before scaling back. These fluctuations are occurring against a backdrop of global market pressures related to the ongoing conflict in Iran. Meanwhile, Strategy Inc.’s common stock, often viewed as a proxy for Bitcoin, has experienced a decline of around 55% over the past year.
