Strategy Adds $60 Million to Bitcoin Treasury in Smallest Buy in a Month

Core Insights - Strategy, formerly MicroStrategy, made its smallest Bitcoin purchase in a month, acquiring 525 Bitcoin for $60 million, bringing its total holdings to approximately 639,000 Bitcoin valued at $73 billion [1] - The company has varied its funding approach recently, not solely relying on issuing common shares to finance Bitcoin purchases [2] - Strategy raised around $68.2 million through various offerings but only spent $60.2 million on Bitcoin, retaining about $8 million in cash [3] Funding and Equity Issuance - The company typically issues common shares to increase its Bitcoin holdings, capitalizing on the premium of its stock relative to Bitcoin [2] - In August, Strategy modified its equity issuance policy to allow share issuance when deemed advantageous, rather than strictly at a 2.5x premium to Bitcoin holdings [5] - As of Monday, Strategy's stock was valued at a 1.26x premium to its Bitcoin holdings, down from 1.39x a month prior, and it has not reached a 2.5x premium since November [5] Market Sentiment and Predictions - A survey indicated that over 80% of respondents expect Bitcoin to trade above $105,000 throughout September, despite recent macroeconomic uncertainties [4] - Options for Strategy's preferred shares have been listed on Nasdaq, with four distinct types introduced this year, some convertible into common shares [4] Analyst Insights - Analysts suggest that Strategy's self-imposed restrictions on equity issuance may have compressed its stock premium, with additional factors such as market copycats also influencing this trend [6]