Strategy’s Phong Le Explains Bitcoin Sale at $60K and Repurchase at $80K

Strategy sold roughly 7,000 bitcoin in the $60,000‑$65,000 range during the summer of 2026 and later repurchased 4,603 bitcoin at an average price of $80,318. CEO Phong Le described both moves as financially justified based on the firm’s capital structure.

Why the Sale Was Made

Le said the sale funded “Stretch dividends” on the company’s variable‑rate preferred stock (STRC). He emphasized that the decision was driven by the cost of capital – selling equity when its market price was at a premium to the firm’s bitcoin holdings, rather than by the absolute price of bitcoin.

Impact on the Balance Sheet

During the ten‑week buying freeze, Strategy reduced net debt from about $7 billion to zero and built roughly $7 billion in cash. The August purchase was financed by a $602.8 million at‑the‑market stock sale and a $151.8 million repurchase of STRC, leaving the company with 0.0% net leverage.

Financial Outcomes

• Sale proceeds: ~7,000 BTC × $62,500 midpoint ≈ $437 million.
• Repurchase cost: 4,603 BTC × $80,318 ≈ $369.7 million.
• Net cash outflow for the round‑trip: roughly $125 million.
• Post‑purchase holdings: 845,050 BTC with a total cost basis of $63.73 billion (average $75,412 per BTC).
• At a market price of $79,700, the bitcoin portfolio is valued at about $67.3 billion, yielding an unrealized gain of approximately $3.6 billion.

Strategic Outlook

Le indicated that the firm does not plan to sell bitcoin in the near term, describing Strategy as a “net accumulator” entering a “pretty heavy bull market.” He noted that a clean, debt‑free balance sheet reduces the risk of forced sales regardless of future price movements.

Investor Perspective

Despite the balance‑sheet improvements, the company’s parent stock (MSTR) was down about 22% year‑to‑date, reflecting a large second‑quarter loss tied to fair‑value accounting on its bitcoin holdings.