Strategy buys 811 more bitcoin for $65.5 million, raising total holdings to 849,327 BTC

Strategy, the bitcoin treasury company led by Executive Chairman Michael Saylor, bought another 811 bitcoin for about $65.5 million between Oct. 26 and Nov. 1, according to an 8-K filing with the Securities and Exchange Commission on Monday. That works out to an average price of $80,846 per bitcoin. A bitcoin treasury company is a firm that holds large amounts of bitcoin on its balance sheet as a core part of its business.

The purchase ended a one-week pause in buying and pushed Strategy's total holdings to 849,327 BTC, worth about $65.9 billion at the time of the filing. The company has spent around $64.1 billion in total, at an average price of $75,451 per bitcoin — more than 4% of bitcoin's total supply cap of 21 million coins.

Key numbers at a glance

• 811 BTC bought for roughly $65.5 million between Oct. 26 and Nov. 1.
• Average purchase price: $80,846 per bitcoin.
• Total holdings: 849,327 BTC, valued at about $65.9 billion, at a total cost of around $64.1 billion.
• The company sold 1,178,552 MSTR shares for about $164 million, leaving $18.62 billion still available under its stock sale program.
• Strategy repurchased nearly 2.1 million STRC preferred shares for about $208.2 million using its USD Cash reserve.
• As of Nov. 1, the USD Reserve stood at $4.79 billion and USD Cash at $132.7 million.

"At-the-market" (ATM) sales, mentioned in the filing, mean the company sells new shares of its Class A common stock gradually on the open market and uses the proceeds to buy bitcoin. The filing says the latest bitcoin purchase was funded this way. The company also used $43.4 million from its USD Reserve to pay dividends on its preferred stock.

What Saylor said

Saylor posted a Strategy bitcoin acquisition tracker chart on Sunday with the words, "We found room for even more orange," signaling the announcement ahead of Monday's filing. He also said on Thursday: "We're at the beginning of the next bitcoin bull market. Banks are embracing bitcoin, bitcoin's dominance among digital assets is growing, institutional demand is back, and bitcoin price is 21% above its 200-week moving average." These are the company's own views, not confirmed market outcomes.

Q3 results and a CFO change

On Thursday, Strategy reported $19.5 billion in net income for the third quarter, up from $2.79 billion in the same quarter last year. The gain was driven by a $20.9 billion rise in the value of its bitcoin holdings. Net income figures like this for bitcoin-holding companies largely reflect accounting rules that require bitcoin price changes to be recorded in earnings.

The company also said CFO Andrew Kang will step down on Nov. 5, with current COO Reza Virasteh set to take on the role in January. Separately, shareholders of its STRC, STRF, STRK and STRD preferred stocks approved — with 99.3% of votes cast — a change allowing dividends to accrue daily instead of on the previous fortnightly schedule.

How analysts and the market reacted

Analysts at StoneX and TD Cowen said Strategy is in a stronger position to buy more bitcoin after stabilizing its preferred-stock financing and improving its liquidity. That is their assessment, not a confirmed fact.

Strategy's stock dropped 9.6% over the week, closing at $130.51 on Friday, according to The Block's MSTR price page. Bitcoin fell 3.6% over the same period, which the source links to the record $6.3 billion Binance hack.

Strategy's place among bitcoin-holding companies

Strategy is the largest of 199 public companies with some form of bitcoin treasury model, according to Bitcoin Treasuries data. The rest of the top five are Metaplanet with 44,000 BTC, Tether-backed Twenty One with 43,514 BTC, Strive with 43,000 BTC, and MARA with 35,577 BTC.

Sources

• The Block