Strategy Pauses Bitcoin Buying for $1.5B Note Repurchase as ETFs Lose $1.2B
MSTR•Strategy Inc. paused bitcoin purchases this week to repurchase $1.5B of 0% convertible notes due 2029 for about $1.38B cash. US spot Bitcoin ETFs saw $1.2B net outflows over six sessions while Bitcoin held near highs, signaling cooler institutional demand that could weigh on Strategy’s crypto valuation.
1. Balance-Sheet Pause on Bitcoin Accumulation
Strategy Inc. paused its routine bitcoin purchases to repurchase about $1.5B of its 0% convertible senior notes due 2029, deploying roughly $1.38B in cash. The company may fund the buyback through cash reserves, at-the-market equity sales or, if needed, bitcoin liquidations to reduce future dilution.
2. ETF Outflows Signal Cooling Institutional Demand
US-listed spot Bitcoin ETFs recorded net outflows exceeding $1.2B over six consecutive sessions, even as Bitcoin traded near recent highs. This pullback marks a slowdown in institutional momentum after months of accumulation and could apply downward pressure on Strategy’s substantial cryptocurrency holdings.
