Strategy Firm Led by Michael Saylor Raises $722 Million to Expand Bitcoin Holdings

The funds raised are planned to expand the company's Bitcoin (BTC) holdings.

Strategy, the firm led by Michael Saylor, disclosed in a filing that it has raised $722 million through the sale of Series A Perpetual Preferred Shares (STRF).

The funds will be used to expand the company’s Bitcoin (BTC) holdings.

This latest move continues the company’s open and aggressive strategy to increase its Bitcoin (BTC) reserves, which now represent nearly 2.4% of the total global Bitcoin (BTC) supply.

In this latest offering, Strategy upped the number of shares on offer from 5 million to 8.5 million shares, selling them at $85 per share. The preferred shares carry an annual dividend of 10%, up from the previous offering.

These dividends are cumulative and paid quarterly, and they may accrue depending on the time of issue. The shares do not have a conversion feature into common shares but have an initial liquidation preference of $100 per share.

Price adjustments will be made every business day based on various factors, including the amount declared and the current trading price, providing flexibility and attractive profit potential for investors.

Since 2020, Strategy has pivoted its business model to focus on acquiring Bitcoin (BTC) using corporate funds. This is part of an ambitious plan known as 21/21 to raise $42 billion over three years to expand Bitcoin (BTC) holdings.

Of this sum, $21 billion will come from equities and another $21 billion from fixed-income securities. Saylor, the company’s CEO, has spearheaded this vision with a strong bullish outlook on cryptocurrencies, particularly Bitcoin (BTC).

Under his leadership and clear strategy, Strategy has managed to accumulate 246,000 BTC since October 2024, showcasing the company’s strong commitment and capability in increasing value through strategic investments in the cryptocurrency market.

Strategy plans to continue buying Bitcoin (BTC) regularly, aiming to make new acquisitions at least twice a month, showcasing the company’s persistence despite market changes.

With the newly raised funds, Strategy is expected to accelerate Bitcoin (BTC) purchases and strengthen its position in the market.

The company also retains the right to redeem all shares if the number outstanding falls below 25% of the total shares originally issued, or in certain cases related to tax events, providing an additional layer of security for investors and demonstrating mature risk management by the company.

Overall, with an open and aggressive strategy as well as effective fund management, Strategy, under the leadership of Michael Saylor, continues to strengthen its position as a major player in the cryptocurrency industry.

This latest fundraising not only demonstrates investor confidence in the company’s vision but also strengthens the foundation for continued growth in Bitcoin (BTC) ownership.