Strategy Faces $12.5B Q1 Loss, Plans Bitcoin Sales to Fund Dividend
Strategy reported a $12.5 billion net loss in Q1 2026, marking its third straight quarterly deficit driven by bitcoin price declines. The company holds 818,869 bitcoins valued at about $65 billion and plans to sell portions to fund a dividend.
1. Strategy Reports Third Straight Quarterly Loss
Strategy posted a $12.5 billion net loss in Q1 2026, its third consecutive quarterly deficit, driven by a sharp decline in bitcoin prices from over $110,000 in November 2025 to below $70,000 in mid-February 2026.
2. Bitcoin Holdings and Planned Sales
The company holds 818,869 bitcoins valued at roughly $65 billion as of mid-May, and leadership signaled it will sell portions of its holdings to fund a dividend and support equity markets.
3. Leadership Shifts on Crypto Policy
CEO Michael Saylor and interim CEO Phong Le deviated from the prior “never sell” stance, stating future sales will be based on bitcoin price levels and equity market conditions to maximize bitcoin per share and drive long-term accretion.