Strategy, led by Michael Saylor, has seen the value of its Bitcoin holdings fall below its average acquisition cost. As Bitcoin dropped to approximately $74,863 on Coinbase, the company’s total treasury value declined to about $63.58 billion. This puts the firm roughly $500 million underwater on paper compared to its total investment of $64.08 billion.
The company holds approximately 849,327 BTC, with an average purchase price of $75,451 per coin. This average cost serves as the firm's break-even point. The current gap between the spot price and the average cost is $588 per coin. Strategy, formerly known as MicroStrategy, rebranded in 2025 to focus on its role as a Bitcoin treasury company.
Strategy funds its Bitcoin acquisitions primarily by issuing equity and preferred stock. In Q4 2025, the company reported a net loss of $12.6 billion due to declines in Bitcoin prices. While the firm remains a net accumulator, it has begun selling small amounts of BTC in 2026 to cover dividends on its preferred stock.
The company’s Bitcoin holdings are currently unencumbered and not pledged against loans, which mitigates risks related to margin calls. As of early November 2026, Strategy maintains $4.79 billion in cash reserves. This liquidity allows the firm to meet its financial obligations without relying on the sale of its Bitcoin assets.
