Strategy CEO Explains Bitcoin Sales as Capital Moves to Zero Debt
Phong Le of Strategy (MSTR) attributes recent BTC trades to funding dividends and eliminating net debt rather than price speculation.
Strategy CEO Phong Le stated that sales of nearly 7,000 BTC at prices between $60,000 and $65,000 were executed to fund preferred dividends and reduce the company's net debt from $7 billion to zero while building a cash reserve.
The company paused Bitcoin purchases for 10 weeks before resuming with the acquisition of 4,603 BTC at an average price of $80,318. Strategy now holds 845,050 BTC valued at $65 billion.
Le described the approach as a shift to a two-way strategy that permits sales when needed to cover dividends while keeping the firm a net accumulator of Bitcoin. He added that the company remains willing to buy Bitcoin above $100,000 if the economics justify the purchase.
Unresolved details
Exact dates and counterparties for the 7,000 BTC sales were not disclosed. It is also unclear whether the $7 billion cash reserve target is a current balance or an aspirational figure.