'Always be stacking': Strategy picks up another 196 bitcoin for $22 million, bringing total holdings to 640,031 BTC

Bitcoin treasury company Strategy (formerly MicroStrategy) acquired an additional 196 BTC for approximately $22.1 million at an average price of $113,048 per bitcoin between Sept. 22 and Sept. 28, according to an 8-K filing with the Securities and Exchange Commission on Monday.

The latest acquisitions were made using proceeds from at-the-market sales of its Class A common stock, MSTR, perpetual Strife preferred stock, STRF, and perpetual Stride preferred stock, STRD. 

Strategy's STRK, STRC, STRF, and STRD perpetual preferred stock's respective $21 billion, $4.2 billion, $2.1 billion, and $4.2 billion ATM programs are in addition to the firm's "42/42" plan, which targets a total capital raise of $84 billion in equity offerings and convertible notes for bitcoin acquisitions through 2027 — upsized from its initial $42 billion, "21/21" plan after the equity side was depleted.

STRD is non‑convertible with a 10% non‑cumulative dividend and the highest risk‑reward profile. STRK is convertible with an 8% non‑cumulative dividend, allowing equity upside. STRF is non‑convertible with a 10% cumulative dividend, making it the most conservative. STRC is a variable‑rate, cumulative preferred stock offering monthly dividends, with adjustable rates designed to keep it near par.

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'Always be stacking'

Last week, Strategy reported it had bought 850 BTC for $99.7 million, taking its total holdings to 639,835 BTC. The pace of Strategy's bitcoin buys has generally been slowing in recent weeks as it switched primary focus from its common stock ATM program to its perpetual preferred stocks for funding further bitcoin acquisitions.

According to Bitcoin Treasuries data, there are now 180 public companies that have adopted some form of bitcoin acquisition model. MARA, Tether-backed Twenty One, Adam Back and Cantor Fitzgerald-backed Bitcoin Standard Treasury Company, Metaplanet, Bullish, Riot Platforms, Trump Media & Technology Group, CleanSpark, and Coinbase make up the remainder of the top 10, with 52,477 BTC, 43,514 BTC, 30,021 BTC, 25,555 BTC, 24,300 BTC, 19,309 BTC, 15,000 BTC, 12,703 BTC, and 11,776 BTC, respectively, with no additional declared acquisitions in the past week.

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While the number of bitcoin treasury companies continues to increase, the value of many of the cohort's shares is down significantly from their summer peaks, with Strategy itself down 32%.

Although its mNAV has been contracting sharply over the past couple of months, Strategy's $87.6 billion market cap continues to trade at a premium to its bitcoin net asset value, with some investors concerned about the firm's premium valuation and its numerous bitcoin acquisition programs in general. However, analysts at Bernstein argue that with Strategy's relatively low debt levels and no payments due until 2028, the firm's leverage remains manageable. Strategy's mNAV currently sits at around 1.23.

Saylor also remains confident in Strategy's resilience. In an interview earlier this year, he said Strategy's capital structure is designed to withstand a 90% drop in bitcoin that persists for four to five years, thanks to its mix of equity, convertible debt, and preferred instruments — though he acknowledged that shareholders would still "suffer" in such a scenario.

MSTR closed up 2.8% on Friday at $309.06, according to The Block's Strategy price page, in a week that saw bitcoin fall 0.3%. MSTR is currently up 1.9% in pre-market trading on Monday, according to TradingView, and has gained just 3% year-to-date, compared to bitcoin's 20%.