Preferred-share repurchases dwarf Bitcoin purchases since July
Strategy has repurchased $950.8 million in STRC preferred shares since July 20, more than 2.5 times the $369.7 million it spent acquiring Bitcoin during the same window, according to a filing disclosed September 14.
The company acquired 4,603 BTC for $369.7 million between August 24 and August 30. In contrast, STRC repurchases have dominated capital deployment across eight reporting periods since the buyback policy’s July 27 announcement. The most recent tranche, conducted September 8 through September 13, involved 1,420,467 shares repurchased for $139.3 million.
Strategy’s total STRC repurchase authorization stands at $2 billion. As of September 13, $1 billion remained available under that authorization. The company’s board doubled the repurchase cap on September 8.
Funding sources and cash position
The buyback campaign has drawn from Strategy’s flexible USD Cash pool, which held $1.3 billion as of September 13. A separate USD Reserve of $5.10 billion, designated for preferred dividends and debt interest, was not authorized to fund repurchases under the July 27 policy.
Earlier in the campaign, Bitcoin sales financed preferred-dividend obligations. Between July 27 and August 2, Strategy sold 1,638 BTC. The following week, it sold an additional 1,690 BTC for $108.6 million. Those proceeds were allocated to dividend payments and share repurchases.
Capital allocation rationale
Strategy’s July 27 buyback policy stated that repurchasing shares below their $100 stated amount could reduce future preferred-dividend requirements at a discount. Management expected purchases to taper as STRC approached $100, though timing and amounts remain discretionary.
Strategy held 845,050 BTC as of September 13. The company did not disclose the strategic rationale for prioritizing buybacks beyond the dividend-reduction mechanics, nor did it clarify whether the pattern represents a permanent shift in capital allocation or a temporary tactical choice.
