Strategy acquired 811 Bitcoin between October 26 and November 1, spending approximately $65.5 million at an average price of $80,846 per coin, according to a Monday 8-K filing. The purchase brings the company’s total holdings to 849,327 BTC, acquired for roughly $64.1 billion at an average cost of $75,451 per Bitcoin.
The purchase was funded through the sale of approximately 1.18 million MSTR common shares, which raised about $164 million. Strategy allocated $65.5 million to Bitcoin and retained the remaining $98.5 million in cash. The company also spent approximately $208 million repurchasing about 2.1 million shares of its STRC preferred stock.
The latest acquisition follows a period in which Strategy relied heavily on preferred-stock issuance to fund Bitcoin purchases. The company is now combining new Bitcoin acquisitions with buybacks intended to adjust its preferred-stock structure.
Strategy reported third-quarter net income of $19.5 billion, compared with $2.79 billion a year earlier. The result included a $20.9 billion operating gain linked to the increase in Bitcoin’s price during the quarter. The gain was recorded under fair-value accounting and did not represent cash income.
The company also said Chief Financial Officer Andrew Kang will leave the role on November 5, with Chief Operating Officer Reza Virasteh scheduled to assume the position in January. Shareholders recently approved, with 99.3% of votes cast in favor, a proposal allowing four preferred stocks—STRF, STRC, STRK and STRD—to accrue dividends daily, including weekends and holidays. The change still requires board approval and regulatory filings.
Strive also added to its Bitcoin holdings, purchasing 124 BTC between October 24 and 30 at an average price of approximately $80,526. The acquisition increased its reserve to 43,124 BTC. The purchase was smaller than the company’s previous weekly addition of more than 6,000 Bitcoin.
Strive’s cash position declined by about $14 million to $490 million during the period. The company also continues to hold 505,000 shares of Strategy’s STRC preferred stock.
Both companies’ shares declined during a volatile week for the cryptocurrency market. Bitcoin fell by approximately 3.6% over the week and moved toward $76,000 after Binance disclosed a security breach that it estimates caused $6.3 billion in losses. Binance said it had frozen roughly $3 billion of the stolen funds and would cover losses through its SAFU fund and company reserves.
Strategy shares fell about 9% during the week, closing Friday at $130.51. The company still had approximately $18.6 billion available under its MSTR at-the-market program. Strive shares declined around 20%, while Bitcoin was trading near $78,000 at the time of writing.
Sources: Bitcoin Magazine.