Strategy Inc. has significantly focused on repurchasing its STRC variable-rate preferred shares, spending approximately $950.8 million since July 20. This amount is more than double what the company spent on acquiring Bitcoin during the same period. The buybacks aim to reduce future preferred-dividend obligations at a discount, as STRC shares typically trade below their $100 par value. For example, between September 8 and September 13, Strategy repurchased $139.3 million worth of STRC shares, bringing the total to about 9.96 million shares bought back across eight reporting periods.
The company's strategy involves using its flexible USD cash, which stood at $1.3 billion as of September 13, to fund these repurchases. While its separate USD Reserve of $5.10 billion is designated for preferred dividends and debt interest, the buybacks compete with further Bitcoin accumulation. Strategy’s board recently doubled its preferred-security repurchase authorization to $2 billion, with about $1 billion remaining available as of September 13, allowing for continued support of the preferred shares. This financial maneuver demonstrates a shift from aggressive Bitcoin accumulation to balance sheet optimization.
Strategy's Bitcoin holdings remained steady at 845,050 BTC as of September 13, having acquired 4,603 BTC for $369.7 million only between August 24 and August 30. The company has not added to its Bitcoin stack in recent weeks, instead directing cash towards preferred-stock buybacks. This emphasis on repurchases is seen as a way to strengthen the capital structure by retiring expensive equity, as the STRC shares carry a 12% dividend rate that increased in July 2026. This approach suggests management sees better risk-adjusted returns in managing its existing liabilities than in continuous Bitcoin accumulation at this time.
