Strategy has raised $466.7 million through fresh MSTR stock sales while keeping its Bitcoin holdings unchanged at 843,775 BTC for the week ending July 12. According to a Form 8-K filed with the U.S. Securities and Exchange Commission, the company sold 4,818,781 Class A MSTR shares between July 6 and July 12 through its at-the-market program, generating approximately $466.7 million in net proceeds. However, Strategy's latest move, selling $213 million worth of BTC, caught plenty off guard as the company known for buying rarely grabs headlines for selling. The sale arrived as macro risks piled up with US-Iran tensions escalating after Washington tightened restrictions around the Strait of Hormuz, sending oil prices higher and pressuring global risk assets. Despite the capital raise, Strategy did not purchase or sell any Bitcoin during the reporting period, maintaining its current Bitcoin balance. The company continues to hold Bitcoin acquired for about $63.69 billion at an average purchase price of $75,476 per Bitcoin, excluding fees and expenses, with roughly $23.79 billion available under its MSTR ATM stock program.
The digital credit market's first major stress test has revealed significant cross-holding risks across Bitcoin reserve companies. According to CryptoSlate reports, Strive disclosed that its holdings of 505,000 STRC shares declined in fair value from $44.738 million to $37.658 million between June 18-26, representing a $7.08 million loss in just eight days with no change in share count. This disclosure demonstrates how risk associated with Bitcoin reserve preferred shares can propagate through cross-holdings to other companies' balance sheets, even in the absence of a major crisis. The market's valuation of STRC held by Strive declined from approximately $88.59 per share to $74.57 per share, fundamentally reshaping investors' perception of the entire sector. As per BTC Rating, STRC is Strategy's perpetual preferred stock that pays 12.00% annual dividends, payable semi-monthly in cash, with the dividend rate adjusted monthly to encourage trading around the $100 par value.
The digital asset treasury (DAT) sector has experienced significant declines as bitcoin has nosedived as much as 33% this year amid macro headwinds and tighter financial conditions. According to The Economic Times, the market capitalization of DAT companies peaked last July when the crypto sector reached $4 trillion in market value, only to hit a trough in November after global trade fears sparked a record $19 billion liquidation of crypto positions. DATs have been unable to stage a full recovery so far in 2026 as the crypto market has remained in the doldrums. Many DAT companies last year traded at a premium to their crypto holdings because investors believed they could use their access to equity and debt funding to purchase more tokens, but starting late last year, the companies' aggregate market value relative to the net asset value of their crypto holdings fell below 1, meaning the companies were trading at a discount to their holdings. This represents a major problem as most DATs depend on their shares trading above their net asset value to attract new investors.
Trading volumes reached unprecedented levels during the stress test period. According to the BitcoinTreasuries report, combined STRC and SATA volumes topped $10 billion in June, a monthly record for each instrument, even without at-the-market share sales. STRC volume reached $8.7 billion, while SATA hit nearly $1.5 billion, nearly double its May figure and logging three of its four highest weekly volumes on record. The report noted that 18 June was the most significant stress test digital credit has faced, with the market absorbing the pressure rather than experiencing a crisis. The aggregate weekly trading volume in DAT shares peaked in August last year but has seenawed since, with weekly trading volume hitting a low in February after bitcoin and other cryptocurrencies sold off on the news Warsh would be nominated for Fed chair. CEX trading volumes rose for the first time in five months in June, with spot climbing 15.3% to $1.11T and RWA perpetual volumes surging to a record $311B.
Strategy's expanded USD reserve provides significant flexibility to navigate potential Bitcoin market challenges. The company's mNAV on an enterprise basis is approximately 1.02, meaning shares are trading at only a slight premium to net assets. With the $3 billion reserve providing 20.4 months of coverage for preferred-stock dividends and debt interest, Strategy has sufficient flexibility to navigate an extended Bitcoin downturn without being forced to sell significant amounts of Bitcoin at lower prices. If Bitcoin follows its historical four-year cycle, a cyclical low could arrive later this year, potentially around October. The expanded reserve is also part of Strategy's bitcoin monetization and capital-management framework, designed to reinforce the perceived creditworthiness of its perpetual preferred securities by demonstrating that cash distributions can continue during periods of Bitcoin weakness. Strategy holds by far the most crypto, even after its bitcoin sales this year, with BitMine Immersion Technologies, which hoards ether, having the second largest stockpile.
