Strategy (NASDAQ: MSTR), formerly MicroStrategy, bought 1,665 bitcoin for $142.7 million in the week ended September 27, an 8-K filed September 28, 2026 shows. The company spent more than that, $151.7 million, buying back its own STRC preferred stock.
The Brief
- Strategy raised all of last week’s new capital through common stock and sold no preferred shares under its ATM program.
- Bitcoin holdings reached 847,666 BTC, bought for an aggregate $63.95 billion including fees and expenses.
- STRC repurchases covered 1,534,530 shares, paid for with a mix of stock-sale proceeds and cash on hand.
- The USD Reserve, which backs preferred dividends and debt interest, ended the week at $5.02 billion.
Stock sales funded the STRC buyback
Strategy sold 1,469,165 Class A shares through its at-the-market program, netting $246.2 million after commissions, according to the Form 8-K. A footnote in the filing splits that money two ways. One slice paid for the bitcoin. The other, $103.5 million, went to STRC repurchases under what Strategy calls its “digital credit securities repurchase program.”
Management topped up the buyback with $48.1 million from USD Cash, a separate pool it keeps for general treasury uses such as buying bitcoin or enlarging the reserve. That pool sits alongside the USD Reserve and STRC buyback setup the company already runs.
STRC is Strategy’s Variable Rate Series A Perpetual Stretch Preferred Stock, one of four preferred issues it sells through the same ATM. The other three are STRF, STRK and STRD, and none of them was sold or repurchased this week. STRC was the only preferred security that changed hands in either direction.
Strategy has acquired 1,665 $BTC and repurchased $152M of $STRC. As of 9/27/26, we hold 847,666 BTC and $6.02B of USD Assets. $MSTR https://t.co/h3BVtsbcBb
— Michael Saylor (@saylor) September 28, 2026
The dilution math is simple. MSTR holders absorbed nearly 1.5 million new shares, and part of that issuance retired preferred stock without adding a single coin. The trade makes sense for common holders only if the dividends saved on retired STRC outweigh the dilution over time.
Pricing added a second wrinkle. The week’s purchases averaged $85,681 per bitcoin with fees, well above the $75,437 average across Strategy’s full holdings, so each new coin nudges the blended cost basis higher.
The dividend reserve barely moved
Strategy drew $22.1 million from the USD Reserve to pay preferred dividends during the period, a small dent in a balance still above $5 billion. The reserve exists to cover those payouts and interest on outstanding debt, including the STRC dividend rate and the fixed coupons on STRF, STRK and STRD. Every STRC share retired also trims the dividend bill the reserve has to carry. USD Cash ended at $1.00 billion after funding its share of the buyback.
The filing also shows how much room the company has left:
- $18,844.4 million of MSTR common stock still available under the ATM.
- $17,510.8 million of STRC available for issuance, the biggest of the four preferred lines.
- $723.5 million remaining under the preferred repurchase program.
- $1.0 billion under the MSTR repurchase program, untouched this week.
Two questions go unanswered in the 8-K. Why did management send stock proceeds into STRC when it could have bought more bitcoin? And will preferred repurchases keep running at this pace while no new preferred stock is being sold?
The Bottom Line
MSTR holders tracking dilution can match each week’s ATM share count against the repurchase table, where the common-stock line read zero this time. Strategy’s position can also be compared with other corporate holders on the corporate crypto treasuries tracker.
The leftover preferred authorization is the figure that sets the limit from here, since USD Cash and stock sales can only fund buybacks the program still allows. Once that $723.5 million is spent, the current program can’t fund any further STRC repurchases, and the next weekly filing will show how quickly Strategy is drawing it down.
