Strategy Company Posts Over $12.5 Billion Loss in Q1 2026, Michael Saylor Proposes Selling Bitcoin to Pay Dividends

Yesterday, the world's largest corporate Bitcoin holder, Strategy, released its Q1 2026 financial results, showing a net loss of $12.54 billion.

The report indicated that this was mainly due to Bitcoin prices being depressed in recent months, resulting in an unrealized asset loss of over $693M.

Currently, Strategy's operating loss stands at $14.47 billion, compared to $5.92 billion in the same period last year. Among them, common shareholders' quarterly loss is $12.77 billion, with a diluted loss per share of $38.25.

However, excluding the financial impact of Bitcoin operations, Strategy's core software business remains relatively stable, with total revenue increasing 11.9% year-over-year to $124.3 million, and gross profit reaching $83.4 million.

Despite the company's paper losses, its Bitcoin holdings continue to grow. In the first quarter, Strategy purchased 89,599 Bitcoins, bringing total holdings to 818,334, a 22% year-over-year increase.

Moreover, Strategy raised nearly $12 billion through capital market activities, including $7.37 billion from issuing MSTR stock and preferred shares in the first quarter.

Additionally, its subsidiary preferred stock STRC has increased in nominal value to $8.5 billion in just nine months. Strategy's CFO, Andrew Kang, stated that the company has paid dividends 23 consecutive times across all products, totaling over $82k.

The most notable point of this earnings report is that Executive Chairman Michael Saylor hinted that the company might sell part of its Bitcoin reserves to pay dividends, aiming to inject vitality into the market.

This statement has attracted significant market attention, as Saylor has long promoted Bitcoin as an asset that should "never be sold."

A few weeks ago, Bitcoin skeptic Peter Schiff called STRC a "blatant Ponzi scheme," claiming that aside from software revenue, the company has no substantial income and can only pay dividends by continuously issuing new shares.

Strategy rebutted this, emphasizing that its Bitcoin holdings serve as a strong backing on the balance sheet.

As of that day, MSTR stock closed at approximately $187.65, while STRC's trading price was slightly below $100. As of press time, Bitcoin's price had surged over $82k.

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