PANews July 31 news, according to The Block, Strategy posted a net loss of $8.2 billion in the second quarter, compared with a net profit of $10 billion in the same period last year, with the loss almost entirely stemming from unrealized book losses on its Bitcoin holdings. The company increased its Bitcoin holdings by 11% in the second quarter to a peak of 846,000 BTC, before beginning to trim part of the position. Bitcoin’s price fell more than 40% from Q2 2025. The company has now paused Bitcoin purchases for five consecutive weeks, prioritizing building U.S. dollar cash reserves, and has sold about $218 million worth of Bitcoin this year to fund preferred stock dividends. CEO Phong Le said the company has reduced convertible debt by 18% to $6.7 billion and increased its U.S. dollar reserves by 12% to $2.4 billion.
The company formally adopted a Digital Credit Capital Framework, planning to establish a minimum U.S. dollar reserve covering at least 12 months of preferred stock dividends and interest, and authorized a Bitcoin sale plan of up to $1.25 billion. CFO Andrew Kang stated that the company’s U.S. dollar reserves currently stand at $3.75 billion, sufficient to cover roughly two years of preferred stock dividends and interest. The company previously repurchased 288,930 shares of STRC preferred stock for $100 million.
