MicroStrategy Logs $14.5B Bitcoin Impairment Loss on 847,363 BTC Position
MSTR•MicroStrategy held 847,363 Bitcoin purchased at $75,651 each and booked a $14.46 billion unrealized loss under ASU 2023-08 in early 2026. This led to a $12.54 billion net loss, or $38.25 per share, as the stock traded below its Bitcoin asset value, increasing dilution risk for shareholders.
1. Bitcoin Holdings and Acquisition Cost
MicroStrategy holds 847,363 Bitcoin purchased at an average cost of $75,651 per coin, representing the largest corporate Bitcoin position globally.
2. Accounting Standard Impact
Under FASB ASU 2023-08, the company must mark Bitcoin holdings to fair value each quarter, resulting in a $14.46 billion unrealized impairment in early 2026.
3. Financial Outcome and Share Metrics
The fair-value write-down contributed to a $12.54 billion net loss, equating to $38.25 per diluted share, as the stock traded below its Bitcoin asset value.
4. Investor Impact and Dilution Risk
With shares trading under net asset value, any new equity issuance to fund Bitcoin purchases further dilutes existing shareholders, amplifying risks for common shareholders and passive fund investors.
