Strategy increases cash reserves to $2.25 billion, reinvests $116 million to buy Bitcoin

Source: PortaldoBitcoin Original Title: Strategy Reinforces Cash Reserves and Purchases an Additional US$116 Million in Bitcoin Original Link: Strategy announced on Monday that buying Bitcoin is not its only priority for 2026, despite the company reinvesting $116 million to buy Bitcoin to celebrate the New Year.

Strategy stated that its USD reserve balance has increased to $2.25 billion. The company, headquartered in Tyson Corner, Virginia, disclosed this information in a statement. The company also said it holds approximately 673,800 Bitcoin, which is worth about $62.8 billion at current prices.

Strategy pointed out that its USD reserves were established over a month ago and were strengthened through the issuance of common stock. When the company announced the reserve in December, it raised $1.44 billion to finance this plan.

The purpose of creating this reserve was to pre-finance cash dividends for various preferred stock shares, an innovative but somewhat controversial source of financing, which the company adopted last year. However, during the week ending Sunday, Strategy did not use these funds to raise financing.

Instead, Strategy raised $312 million through the issuance of common stock and retained most of the funds. Since the cycle beginning on December 14, the company has not issued preferred stock, when it announced two consecutive Bitcoin purchases totaling nearly $1 billion each.

Strategy’s stock rose 4% on Monday to $163. This initial increase occurred after the company’s stock price fell 49% last year, with analysts focusing on the potential exclusion of Strategy from the MSCI index.

Strategy urged this financial giant not to exclude the company buying Bitcoin from its index, with JPMorgan analysts warning that such a move could trigger billions of dollars in outflows from company funds. Other analysts described Strategy’s approach of creating cash reserves as a cautious move.

Although Strategy’s Bitcoin purchases slowed as the asset declined from its October high of $126,000, the company acquired about 22,600 Bitcoin last month. This represents a significant acceleration compared to the 9,000 Bitcoin purchased the previous month, as a major source of financing was restricted.

Over the years, Strategy has viewed the number of Bitcoin held per share as a key indicator of its success. However, as the company’s value relative to its Bitcoin reserves has declined, issuing common stock has become a less efficient way to drive this metric.

On Monday, Strategy’s mNAV (adjusted net asset value) was approximately 1.03 according to its formula, which considers cash and debt factors. When the mNAV is below 1, issuing common stock to buy Bitcoin immediately would reduce Strategy’s per-share reserves.

Despite recent Bitcoin purchases adding nearly 1,300 Bitcoin to the company’s treasury, the number of Bitcoin held per share remains unchanged according to its website. The “Bitcoin yield” metric has remained stable throughout the year.

When announcing the company’s final Bitcoin purchase for 2025, Strategy co-founder and CEO Michael Saylor emphasized how the company “achieved a 23.2% Bitcoin return in 2025,” while its per-share holdings increased.

Saylor highlighted the increase in the company’s cash reserves and the value of the last purchase on Monday, without including this metric.

According to CoinGecko, Bitcoin traded at $93,847 on Monday, up 7.2% over the past week. The asset’s price fell 23% in the previous quarter and touched a low of $84,500 last month.