Strategy CEO: Will keep buying bitcoin; debt risk at $8k-$10k

Phong Le, Strategy’s president and chief executive, told an interview on Tuesday that the company will remain a buyer of bitcoin despite recent sales. The firm sold more than $215 million of bitcoin as part of a capital plan and has not bought any since the week ended June 22.

Last week Strategy raised about $467 million from a common stock sale, increasing its cash reserve to roughly $3 billion. Company officials say that reserve can cover preferred-stock dividend payments for about two years and provides additional flexibility. Preferred shareholders had asked for more liquidity on the balance sheet, and the recent bitcoin sale was used in part to show liquidity in the company’s holdings.

Le indicated the company does not view its debt as a concern unless bitcoin drops to roughly $8,000–$10,000. “We’re not going anywhere,” he said, adding his objective is for Strategy to be the largest buyer of bitcoin for the foreseeable future. At the time of the comments, bitcoin was trading near $65,000.

Strategy has shifted from a pure bitcoin treasury to a broader digital capital platform. A central part of the plan is STRC, the company’s perpetual preferred known as Stretch, which has traded below its $100 par value since May and was near $88 on Wednesday. The company plans to issue more STRC once it returns to par and use proceeds to buy bitcoin and possibly add to the U.S. dollar reserve.

Company executives noted that issuing preferred stock and equity can increase bitcoin per share when the stock trades above the net asset value of the company’s bitcoin. Strategy’s multiple to net asset value fell below 1 last month and recovered to about 1.02.

Officials described the recent sales, equity issuance and cash accumulation as measures to demonstrate liquidity and preserve optionality. They said the cash buffer and preferred-stock strategy are intended to cover dividend obligations and support future bitcoin purchases, while keeping the company insulated from short-term price swings unless bitcoin falls sharply.