MicroStrategy Executes First Bitcoin Sale Since 2022, Unveils $1.25B Credit Framework
MSTR•MicroStrategy sold 32 BTC for $2.5 million between May 26–31, its first Bitcoin sale since December 2022, as its STRC preferred stock plunged to a record low of 71.2. A Digital Credit Capital Framework permits $1.25 billion in Bitcoin sales to boost USD reserves, cover dividends and fund share repurchases.
1. Shift in Bitcoin Strategy
For years MicroStrategy positioned itself as a one-way source of Bitcoin demand, funding acquisitions through equity and preferred stock offerings. Leadership’s embrace of Bitcoin accumulation made the company a marquee institutional buyer in crypto markets.
2. Details of Recent Bitcoin Sale
Between May 26 and May 31, MicroStrategy sold 32 BTC for approximately $2.5 million, marking its first disposal of Bitcoin since December 2022. Management signaled this sale reflects growing flexibility to monetize holdings when strategic.
3. STRC Preferred Stock Decline
MicroStrategy’s perpetual preferred stock STRC fell to a record low of 71.2 following Bitcoin’s drop below $60,000. The preferred instrument’s decline strained one of the company’s primary financing channels for Bitcoin purchases.
4. Digital Credit Capital Framework
On June 29, MicroStrategy introduced a Digital Credit Capital Framework authorizing up to $1.25 billion in Bitcoin sales. Proceeds can bolster USD reserves, meet dividend obligations or fund share and debt repurchases under predefined conditions.
