filing<\/a>, Strategy said its Bitcoin (BTC) holdings were worth $59.7 billion at a reference price of $84,000, about 10 times compared with net debt of about $6 billion. <\/p>\nWith Bitcoin now trading near $63,800, the value of those holdings has fallen to roughly $45.4 billion, as per Saylor Tracker data, down about $10 billion from the company\u2019s average purchase cost.<\/p>\n
Debt coverage and balance sheet position<\/h2>\n
Strategy said its Bitcoin would fail to cover net debt only in what it described as an \u201cextreme scenario\u201d involving a drop to $8,000, a level last seen in early 2020. The company added that its Bitcoin is unencumbered and not pledged as collateral, which limits the risk of forced selling even during sharp market declines.<\/p>\n
As of Feb. 1, 2026, Strategy held 713,502 BTC, acquired at a total cost of $54.26 billion, or $76,052 per coin. The firm also reported a 22.8% Bitcoin yield for fiscal year 2025, reflecting gains from capital raising and reinvestment strategies.<\/p>\n
During 2025, Strategy raised $25.3 billion in capital, making it the largest U.S. equity issuer for a second straight year. It also completed five preferred stock offerings, raising $5.5 billion, and expanded its digital credit program, STRC, to $3.4 billion.<\/p>\n
<\/p>\n
\u201cWe raised $25.3 billion of capital in 2025 to advance our Bitcoin treasury strategy,\u201d said president and CEO Phong Le. \u201cIn 2026, we remain focused on expanding STRC to generate amplification and drive growth in Bitcoin Per Share.\u201d<\/p>\n
Chief financial officer Andrew Kang said the company\u2019s capital structure is stronger than in previous cycles, citing its $2.25 billion reserve fund, which covers more than two years of dividend and interest payments.<\/p>\n
Michael Saylor described Strategy\u2019s balance sheet as a \u201cdigital fortress,\u201d built around its Bitcoin holdings and digital credit platform.<\/p>\n
Losses, valuation, and sector-wide pressure<\/h2>\n
Strategy\u2019s confidence in its debt coverage comes as losses linked to Bitcoin volatility continue to weigh on financial results.<\/p>\n
Due to unrealized losses on digital assets under fair value accounting, the company reported an operating loss of $17.4 billion for the fourth quarter of 2025. Common shareholders incurred a net loss of $12.6 billion, or $42.93 per diluted share.<\/p>\n
With Bitcoin trading in the low $60,000 range, Strategy\u2019s holdings are now valued at about $45.4 billion, well below their $54.26 billion acquisition cost. Since late 2025, as prices fell and selling pressure mounted on cryptocurrency markets, that gap has grown.\u00a0<\/p>\n
At the moment, the company\u2019s diluted multiple to net asset value, or mNAV, is about 0.85x. mNAV measures how the market values a firm\u2019s equity relative to the net value of its assets, mainly its Bitcoin holdings, after accounting for debt. A ratio below 1 means the stock is trading at a discount to the underlying asset value.<\/p>\n
Pressure is also building across the wider crypto treasury sector. Data from Artemis shows that unrealized losses<\/a> among crypto accumulation firms have surpassed $25 billion. None of those firms has generated profits that exceed acquisition costs.<\/p>\nSome analysts view Strategy\u2019s $8,000 threshold as a theoretical floor rather than a realistic risk. Others note that prolonged weakness below $60,000 could test investor confidence, raise re-financing costs, and limit the company\u2019s ability to raise new capital on favorable terms.<\/p>\n
<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"
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