Bitcoin: Strategy increases its reserve to 848,000 BTC

A small purchase for a giant stash. Strategy is adding 334 bitcoins to its treasury for approximately $28.7 million, at an average price of $85,839. The operation announced on October 5 brings the assets of Michael Saylor's group to 848,000 BTC, or a little more than 4% of the maximum supply of Bitcoin.

The amount contrasts with the multibillion-dollar acquisitions that have marked its expansion. But an isolated purchase is not enough to conclude that the financing mechanism is running out of steam.

Key Points

Strategy buys 334 BTC for approximately $28.7 million.

Its reserve reaches 848,000 BTC, or 4.04% of the 21 million units planned.

The cumulative acquisition cost is around $63.97 billion.

The size of the purchase alone does not make it possible to identify a financing constraint.

Bitcoin: Strategy increases its reserve to 848,000 BTC

The latest purchase comes above Strategy's historical average cost of around $75,441 per bitcoin. At approximately $85,839 per unit, the price paid exceeds this level by almost 14%. The operation therefore slightly increases the average cost of the reserve, without significantly changing its proportions.

The additional 334 BTC represents less than 0.04% of the total stock. The main part is now found in the assets accumulated since the launch of this strategy in August 2020: 848,000 bitcoins acquired for approximately $63.97 billion.

To measure their value, however, it is necessary to distinguish the price of the last purchase from the market price. With bitcoin at $86,000, this reserve would be worth approximately $72.93 billion, a positive difference of close to $8.96 billion compared to the acquisition cost. This estimate varies with the price and does not constitute a profit received.

The contrast with November 2024 remains spectacular. Strategy then announced the purchase of 55,500 BTC for approximately $5.4 billion. The amount of the current operation is almost 190 times lower. A clear difference in scale, which does not, however, provide its explanation alone.

Purchases dependent on financing conditions

Strategy’s accumulation relies largely on capital raised on the markets. Ordinary shares, preferred securities and debt meet different constraints: potential dilution, dividends, interest or repayment deadlines.

The mNAV, which brings the valuation of the company closer to that of its bitcoins according to the definition used, helps to assess the conditions of a share issue. A high premium can facilitate an increase in the number of BTC per share. But this value creation also depends on the issue price, fees and use of funds.

Strategy notably tracks BTC Yield, which measures the evolution of the number of bitcoins held per share on a diluted basis. This indicator corresponds neither to a return paid to shareholders nor to the stock market performance of the security.