Strategy, the publicly traded corporate vehicle associated with Michael Saylor, added to its Bitcoin position last week while simultaneously prioritizing preferred-stock buybacks at a much faster pace. According to a filing with the U.S. Securities and Exchange Commission, the company purchased 267 BTC for $22.1 million between Oct. 12 and Oct. 18, bringing its total holdings to 848,517 BTC.
In the same reporting period, Strategy repurchased shares of its variable-rate preferred stock, Stretch (STRC), and also expanded its authorization for additional digital-credit security buybacks—moves that underline how the company is balancing Bitcoin accumulation with capital returns tied to its preferred structure.
Key takeaways
- Strategy bought 267 Bitcoin for $22.1 million (avg. price about $82,900), lifting holdings to 848,517 BTC, per an SEC filing.
- STRC repurchases outpaced Bitcoin purchases: the company spent far more on preferred stock buybacks than on acquiring BTC during the fourth quarter to date.
- Strategy funded the latest BTC buy primarily using proceeds from selling common stock, while using cash for STRC repurchases, according to the filing.
- The company increased its digital credit securities buyback authorization to $3 billion from $2 billion.
Bitcoin buys stay steady as STRC buybacks take the lead
Strategy’s latest Bitcoin purchase totaled 267 BTC for $22.1 million, executed between Oct. 12 and Oct. 18. The SEC filing shows the company’s average purchase price was approximately $82,900, and it now reports 848,517 BTC in cumulative holdings.
However, the more striking development is how the company’s capital allocation appears to be tilting toward STRC. The filing details that Strategy also repurchased 1.94 million shares of its STRC preferred stock for $193.1 million.
This aligns with an ongoing pattern described earlier by Cointelegraph: management has continued spending more on preferred stock repurchases than on new Bitcoin purchases, even while Saylor has publicly pointed to expectations for a renewed Bitcoin bull cycle.
How the company financed the transactions
Strategy’s funding mechanics for the week’s activity are also notable for investors tracking the company’s liquidity decisions. The filing states that the company raised about $22 million by selling 140,872 shares of its common stock, MSTR, which it used primarily to support the Bitcoin purchase. For the preferred stock repurchases, Strategy reportedly relied on existing cash resources.
Looking at the bigger quarter-to-date picture, Strategy has spent $459.2 million repurchasing STRC shares during the fourth quarter so far—over six times the $72.3 million used to acquire 851 BTC over the same period, as outlined in the SEC filing.
That disparity matters because it suggests STRC buybacks are not merely supplementary; they are becoming a dominant use of corporate capital alongside—and in some cases ahead of—Bitcoin accumulation.
STRC structure and dividend backing
STRC is a variable-rate preferred stock designed to pay regular dividends. The company previously indicated that it intends to repurchase STRC shares that trade below their $100 stated value in order to help support the preferred stock’s price.
To support dividend and debt obligations, Strategy reported $4.83 billion in USD reserves for preferred stock dividend payments and debt interest, along with $447.3 million in separate USD cash holdings, according to the filing.
The implication for market participants is straightforward: STRC buybacks appear connected to Strategy’s ability to manage dividend funding while also using its capital structure to pursue price stabilization in the preferred shares—an approach that becomes more influential when repurchase activity grows relative to Bitcoin buying.
Saylor remains bullish on Bitcoin—but capital discipline is visible
While the transaction mix highlights STRC’s importance, the timing also comes as Michael Saylor reiterated optimism about Bitcoin’s medium-term trajectory. During a discussion at ParaFi Investor Day on Saturday, Saylor said, “We’re moving back into a bull market,” referencing Bitcoin’s move back above its 200-day simple moving average, a widely watched indicator of longer-term trend direction.
Saylor pointed to several factors he sees as headwinds, including restrictive trade policies and foreign and monetary policy constraints. He also highlighted potential tailwinds such as increasing bank adoption and the broader tokenization of traditional financial assets.
For traders and investors, the message is that Strategy’s bullish narrative for BTC continues, but the company’s near-term behavior—prioritizing STRC repurchases—shows that conviction and capital allocation are being expressed through more than one channel.
Ahead of Monday’s Nasdaq open, MSTR shares were reportedly up more than 2.5% in premarket trading, according to Yahoo Finance. The stock closed Friday down about 9.6% at $138.83 per share. STRC shares were also reported up around 0.8% in premarket to $98.45, after a 1.8% decline on Friday.
Buyback authorization expanded
Beyond the week’s purchases, Strategy also increased its flexibility for future capital actions. The company raised its buyback authorization for digital credit securities to $3 billion from $2 billion, the SEC filing states. This expanded mandate suggests Strategy intends to keep using repurchase programs as an ongoing lever for its broader financial strategy.
For readers tracking how corporate Bitcoin holders manage risk and liquidity, the key takeaway is that Strategy’s approach is not only about acquiring BTC—it also includes active management of its preferred and credit-related instruments, potentially smoothing how cash and reserves are redeployed across the business.
Going forward, the main question for investors is whether Strategy’s preferred-stock repurchase intensity will remain high relative to Bitcoin buying as market conditions change—especially given Saylor’s claim that Bitcoin is returning to a bull-market phase. Watch the next sequence of SEC filings for whether the BTC spend rate catches up, or whether STRC buybacks continue to dominate the company’s capital allocation.
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