Strategy Sells 1,638 BTC for $105M to Fund Preferred Dividends

Short answer: On August 3, 2026, Strategy disclosed that it sold 1,638 BTC for about $104.7 million, at an average of $63,957 per coin, to pay preferred-stock dividends and buy back its STRC preferred shares. It is the company's third disclosed bitcoin sale since May, leaving it with 842,138 BTC and showing that funding its preferred stack now drives the treasury as much as buying bitcoin does.

What happened

Strategy Inc. (Nasdaq: MSTR), the largest corporate holder of bitcoin, chaired by Michael Saylor, filed its weekly Form 8-K with the U.S. Securities and Exchange Commission (SEC) on Monday, August 3. Between July 27 and August 2 the company:

• Sold 1,638 BTC for $104.73 million, an average of $63,957 per bitcoin.
• Used $52.4 million of the proceeds to fund preferred dividends and $52.3 million to repurchase Variable Rate Series A Perpetual Stretch Preferred Stock (STRC).
• Sold 3,011,361 MSTR shares through its at-the-market programme for net proceeds of $290.6 million.
• Bought back 912,143 STRC shares for $81.2 million in total.
• Raised its USD Reserve to $4.0 billion, up from $3.75 billion a week earlier.

After the sale Strategy holds 842,138 BTC, acquired for a total of $63.51 billion, or $75,419 per coin on average. That is roughly 4% of bitcoin's 21 million supply cap.

Why Strategy is selling bitcoin

For years the company only bought. The change comes from how it now finances itself. Alongside common stock and convertible debt, Strategy has issued several perpetual preferred shares: STRF, STRK, STRD, the euro-denominated STRE and STRC, a variable-rate instrument with a dividend of about 12% a year. Those dividends are a fixed cash cost, estimated by Grayscale research at around $1.5 billion a year, and bitcoin itself produces no income.

On June 29, 2026, Strategy announced a BTC Monetization Program allowing it to sell bitcoin from time to time, including to raise up to $1.25 billion for its USD Reserve, a cash buffer set aside for dividends and interest. The latest sale follows directly from that decision.

What the sale says about Strategy's bitcoin strategy

The coins were sold below Strategy's average cost. At $63,957 the company received about $11,500 less per bitcoin than it paid on average, and at that price its whole stack is worth roughly $54 billion against a $63.5 billion cost basis. Strategy reported a second-quarter net loss of about $8.2 billion, driven by unrealised losses on its bitcoin.

The buybacks target STRC, which trades below its $100 par value. Supporting that price matters because STRC has been one of Strategy's main tools for raising money. Market commentators, including 24/7 Wall St., read the filing as a shift in priorities: protecting financial flexibility and the preferred stack first, with large new bitcoin purchases likely only once STRC recovers toward par.

In scale, 1,638 BTC is small: less than 0.2% of Strategy's holdings and a fraction of a normal day's spot volume. The signal matters more than the size. The market's biggest steady buyer has become an occasional seller, and it has a stated programme for doing so.

What it means for you

If you hold bitcoin directly, Strategy's sale does not change what you own. Keep a few points in mind:

• Corporate treasuries are not a price floor. A company that funds fixed dividends may have to sell in weak markets, when prices are already low.
• MSTR is not bitcoin. Its shares and preferreds carry leverage, dilution and dividend obligations on top of bitcoin's own volatility.
• Watch the Monday filings. Strategy's weekly 8-K is a public, reliable record of whether it is buying, selling or holding.
• Plan your own exits calmly. If you rebalance into stablecoins, compare routes and fees first; our guide on how to swap bitcoin to USDT covers the steps.

None of this is a forecast. A 1,638 BTC sale is absorbed easily; what traders will watch is whether sales become a regular weekly feature.

Key takeaways

• Strategy sold 1,638 BTC for $104.7 million at $63,957 between July 27 and August 2, 2026.
• The proceeds went to preferred dividends and STRC repurchases, not to operations.
• Holdings fell to 842,138 BTC with an average cost of $75,419; the USD Reserve rose to $4.0 billion.
• It is the third disclosed sale since May, under a BTC Monetization Program announced on June 29.

To see what a swap out of or into bitcoin would return right now, check the rates on the pairs page.

Sources: Strategy Form 8-K (SEC), The Block, Bitcoin Magazine, 24/7 Wall St.