Strategy to Sell Bitcoin for Buybacks, Dividends

Strategy CEO Phong Le said the company will sell Bitcoin when it benefits shareholders, breaking from its pure accumulation stance.

The shift marks a strategic pivot for the world's largest corporate Bitcoin holder. Le told investors on the May 5 earnings call that Strategy wants to remain a net accumulator of Bitcoin but will use tactical sales to fund share buybacks, dividends, and debt management. The primary goal is increasing Bitcoin per share, not just holding forever. Executive Chairman Michael Saylor said Strategy will probably sell some Bitcoin to fund a dividend just to show the market it can be done.

Strategy bought 89,599 BTC in the first quarter at an average price of $80,900, spending about ₱441.65 billion ($7.3 billion). The company added another 56,235 BTC in the second quarter to date. But Bitcoin's price dropped from around $87,000 in early Q1 to $68,000 by late March, triggering a ₱874.82 billion ($14.46 billion) unrealized loss on Strategy's stack.

That paper loss created a ₱133.1 billion ($2.2 billion) tax shield opportunity. Strategy's modeling shows that selling ₱60.5 billion ($1 billion) in Bitcoin to buy back MSTR shares would add 636 basis points of yield if the stock trades below 0.5 times its Bitcoin net asset value. The company set a share buyback threshold at 1.22 times net asset value.

Strategy reported a ₱758.66 billion ($12.54 billion) net loss for Q1 2026, driven almost entirely by unrealized Bitcoin markdowns. Revenue climbed 12% year-over-year to ₱7.52 billion ($124.3 million) with a 67.1% gross margin. The company raised $11.7 billion in capital year-to-date, split roughly half between common equity and preferred shares, and carries $8.5 billion in STRC digital credit outstanding at an 11.5% dividend yield.