MicroStrategy Incorporated d/b/a Strategy Investors: Please contact the Portnoy Law Firm to recover your losses. July 15, 2025 Deadline to file Lead Plaintiff Motion.

Core Viewpoint - MicroStrategy is facing a class action lawsuit from investors who purchased securities during a specified period, alleging misleading statements regarding its bitcoin investment strategy and the associated risks [1][4]. Company Strategy - Since 2020, MicroStrategy has adopted a strategy focused on purchasing and holding bitcoin as a key part of its business operations [3]. - On January 1, 2025, MicroStrategy implemented ASU 2023-08, which requires public companies to report crypto assets at fair value, impacting net income based on value fluctuations [3]. Allegations of Misleading Statements - The lawsuit claims that MicroStrategy overstated the expected profitability of its bitcoin-centric strategy and understated the risks related to bitcoin's volatility and potential losses from ASU 2023-08 [4]. - The company allegedly failed to disclose the material risks associated with its investment strategy during the class period [4]. Financial Impact - On April 7, 2025, MicroStrategy reported a $5.91 billion unrealized loss on its digital assets for Q1 2025, which was attributed to the adoption of ASU 2023-08 [5]. - Following this announcement, MicroStrategy's stock price fell nearly 9%, indicating a significant market reaction to the disclosed losses [5].