Strategy Bitcoin Holdings value big pump 14.3 billion USD! MSTR stock may create quarterly record profit, becoming the strongest leverage target in the crypto market.

Core Data and Dynamics:

Massive Bitcoin Holdings Continue to Expand:

• Business intelligence giant Strategy (NASDAQ: MSTR) currently holds over 528,000 Bitcoins (BTC), firmly securing the title of the largest publicly traded company in Bitcoin holdings.
• As of the end of March 2025, the book value of its Bitcoin assets is approximately 43.5 billion USD.

Bitcoin Surge Drives Epic Quarterly Profits:

• Since the end of March, Bitcoin prices have risen strongly by over 30%, bringing nearly $14 billion in value reassessment gains to its holdings solely due to the price increase.
• In the second quarter, the company continued to increase its Bitcoin holdings, with the new positions contributing approximately $600 million in unrealized profits.
• Under the comprehensive effect, MicroStrategy is expected to report approximately $14.3 billion in second-quarter profits (primarily driven by the appreciation of Bitcoin's value). This scale is comparable to top U.S. companies such as JPMorgan and Amazon (expected to exceed the $10 billion club in Q2 profits).

The Reform of Accounting Standards Amplifies the Leverage Effect of Bitcoin:

• Key driving factor: MicroStrategy has adopted new accounting standards that require it to value Bitcoin on its balance sheet at its real-time market value (replacing the old "cost method," which only recognizes gains and losses upon actual sale).
• This change means that the company’s quarterly earnings will be highly synchronized with Bitcoin price fluctuations, amplifying its property as a "Bitcoin leveraged stock".

Core Business vs. Bitcoin Investment:

• Analysts expect that its traditional enterprise software business will contribute approximately $112.8 million in revenue in Q2.
• The astonishing profit of 14.3 billion USD almost entirely comes from the surge in the value of Bitcoin holdings, highlighting that its business model has deeply transformed into a “Bitcoin holding company.”

Market Performance and Investor Reaction:

MSTR stock price leads strongly (leading cryptocurrency-related stock):

• Boosted by the expectation of this huge profit, MSTR's stock price surged by 8% today, according to Google Finance data.
• Throughout the entire second quarter, MSTR's stock price surged by 40% in total, significantly outperforming the Bitcoin increase during the same period, and greatly exceeding the 11% gain of the S&P 500 index, making it the undisputed best crypto concept stock.
• Long-term Crushing Performance: Since starting its Bitcoin strategic reserve in 2020, MSTR stock has cumulatively increased by over 3300%, while Bitcoin has increased by about 1000% during the same period, validating its power as a highly effective Bitcoin leverage tool.

Innovative financing supports continuous coin purchase:

• MicroStrategy actively utilizes various financing tools (including issuing common stock, convertible debt, and high-yield preferred shares such as STRK) to fund Bitcoin purchases (Bitcoin collateral financing strategy).
• As Bitcoin appreciates, its stocks attract a large number of bulls in the crypto market and traders seeking institutional-level Bitcoin exposure. STRK preferred shares also attract specific crypto investors looking for stable cash flow due to their high fixed income.

Controversies and Leader Perspectives:

Short Selling Doubts vs. Strategic Defense:

• Notable short-seller Jim Chanos and others believe that the stock price of MSTR has a high premium, and the strategy is "directly holding Bitcoin + shorting MSTR stock."
• The company's chairman and Bitcoin evangelist Michael Saylor strongly rebutted, emphasizing that placing Bitcoin as a corporate reserve asset on the balance sheet can significantly enhance the company's long-term financial strength and capital structure (a model of corporate hoarding strategy), with its value far exceeding merely holding the coins.

Industry Comparison and Positioning:

• The Japanese listed company Metaplanet, which has a similar strategy, also reported a QoQ surge of 42% in its Bitcoin business revenue, surpassing the revenue growth expectations of the S&P 500, demonstrating the global trend of corporate allocation of Bitcoin.
• The large scale and aggressive strategy of Strategy have led its MSTR stock to be widely regarded as a strong alternative to Bitcoin spot ETFs or a core tool for gaining high leverage Bitcoin spot exposure, continuously shaping the narrative of the integration of crypto assets and traditional capital markets.