Strategy’s Bitcoin Sales Result in Over $102 Million Loss in 2026
Analysis from Cryptoquant reveals that Strategy, the investment company led by Michael Saylor, incurred cumulative losses exceeding $102 million from bitcoin sales in 2026. These sales consistently occurred below the firm’s average cost basis, indicating that Strategy is liquidating portions of its bitcoin holdings to meet dividend obligations and stock buyback commitments.
Significant Bitcoin Holdings with Substantial Unrealized Losses
As of the latest board disclosures, Strategy retains approximately 840,000 bitcoins. Based on current market prices, the firm faces an unrealized loss totaling close to $10.6 billion. Over the period from 2024 to 2026, Strategy’s average acquisition cost per bitcoin was roughly $75,400, while recent sales have averaged around $64,000 per coin, reflecting a notable discount relative to their cost.
Dividend Payment Pressures Drive Asset Liquidation
Strategy appears to be relying on bitcoin sales primarily to cover dividend payments on its variable-rate preferred stock (STRC). Cryptoquant estimates that the annual dividend burden on these preferred shares has surged from about $300 million several years ago to close to $1.2 billion currently—an increase of roughly fourfold. Given the company’s existing cash reserves, the dividend coverage ratio has shortened significantly to about 14 months, highlighting mounting financial strain.
Multiple Below-Cost Sales Aimed at Maintaining Liquidity
Despite a previous stance of holding bitcoin indefinitely, often summarized by Saylor’s motto to "never sell a single satoshi," Strategy has sold bitcoin at least four times this year to raise funds. These transactions fall within a board-approved cumulative sale limit of $1.25 billion. Analysts observe that Strategy has also made smaller bitcoin purchases alongside these sales, potentially aiming to balance liquidity needs while maintaining a narrative of long-term accumulation.
Share Price Declines Reflect Market Sentiment
Strategy’s share price has declined by nearly 40% year-to-date, trading in the mid-$90 range—substantially below levels seen during bitcoin’s previous peaks. With ongoing sales to fund dividends and stock buybacks, market consensus anticipates continued liquidation efforts in the near term.
Michael Saylor characterizes these bitcoin sales as part of broader asset and liability management rather than a shift in confidence. Supporting this, the company recently acquired 520 bitcoins for approximately $35 million, signaling efforts to stabilize its holdings. Upcoming quarterly disclosures and bitcoin price movements will be key indicators of Strategy’s capacity to sustain its dividend and repurchase programs.