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#Strategy上周减持3588枚BTC Holding $2.55 Billion in Cash, Why Sell BTC at a $55 Million Loss? 99% of People Don’t Get Strategy’s Move
Have you ever seen someone with $2.55 billion in cash who still sells assets at a loss to pay bills?
On July 6, Strategy dropped a bombshell—from June 29 to July 5, it sold 3,588 BTC in one go, cashing out $216 million. The average selling price was $60,197. The average cost basis was $75,651. One trade, a real loss of $55 million. Michael Saylor, who had shouted “never sell Bitcoin” for six years, personally took a loss at a point when BTC was near the cycle low. What’s even more suffocating—the company had $2.55 billion in cash sitting on its books. Not short on cash, yet still selling at a loss.
Crazy? Don’t rush. This is precisely the smartest move Strategy has ever made.
First, preferred stock dividends aren’t something you can just pay with cash whenever you want.
Strategy pays about $1.5 billion in preferred stock dividends every year. This is a hard obligation—must be paid on time, not a single day’s delay. $2.55 billion in cash looks like a lot, but can it be touched freely? No. That cash is collateral, operational reserves, and the ballast for regulatory compliance. Touch it, and ratings get downgraded; touch it, and financing channels break; touch it, and the entire capital structure’s credit collapses instantly. Half of the cash on the books is “visible but untouchable.”
Cash is the bottom line; BTC is the ammunition.
Second, selling BTC at a $55 million loss might be more valuable than making a $55 million profit. Don’t laugh—this is the basics of tax planning. Realizing capital losses can directly offset future capital gains taxes. Strategy confirmed a digital asset loss of $8.32 billion in Q2. Actively realizing a portion of those losses in this situation is like locking in a tax deduction option in advance.
You think he’s losing money? He’s using a $55 million realized loss in exchange for a tax shield worth multiples in the future. Retail investors look at “did I lose or gain.” Institutions look at “maximizing after-tax net returns.”
Third, and most ruthless—signal management.
Imagine this scenario: Strategy has $2.55 billion in cash, and preferred stock dividends are due. If it pays directly with cash—what would the market interpret? “Strategy’s cash flow is drying up!” “It can’t even afford $1.5 billion!” “Run!” Stock price crashes, preferred stock crashes, financing channels collapse, the entire flywheel stalls.
But selling BTC to pay dividends? The signal is completely different—“Cash reserves untouched, that’s strategic reserve.” “Selling BTC is just liquidity management, doesn’t affect core holdings.” “Our capital structure is still solid.” Result? STRC preferred stock rebounded from a low of $73.62 at the end of June back above $90.
The capital market tells you with real money: they understand and approve.
Jiang Zhuoer said “the narrative of never selling Bitcoin has effectively ended.” Wrong. “Never sell Bitcoin” is a tactical slogan, not a mathematical formula. Strategy’s real goal has never been “holding the most BTC”—it’s “maximizing BTC per share.”
When MSTR’s mNAV drops below 1.22x, issuing common stock to buy BTC is net harmful to existing shareholders. At that point, selling BTC to pay dividends, or even buying back shares, is a better way to increase BTC per share.
You think he’s betraying the faith?
He’s guarding the faith in a smarter way. Don’t use retail investor thinking to understand institutional behavior. Retail investors look at “buy or sell.” Institutions look at “capital structure, tax efficiency, signal game.” Selling BTC at a $55 million loss might be smarter than touching $2.5 billion in cash. Because some cash, if touched, means death; some BTC, if sold, means life.
“Faith can’t feed you, but capital structure can.” “Saylor hasn’t betrayed Bitcoin; he’s just finally learned to speak human language with Wall Street.”
Do you think Strategy’s move is “truly smart” or “making excuses”? Are you following institutions with your BTC position, or going against the trend? See you in the comments. $BTC
Have you ever seen someone with $2.55 billion in cash still selling assets at a loss to pay bills?
On July 6, Strategy dropped a bombshell – between June 29 and July 5, it sold 3,588 BTC in one go, cashing out $216 million. The average sale price was $60,197. The average cost basis was $75,651. One trade, a realized loss of $55 million. Michael Saylor, who had preached "never sell Bitcoin" for six years, personally cut his position at a price near the cycle low. Even more suffocating: the company had $2.55 billion in cash on its books. It wasn't short of money, yet it still sold at a loss.
Crazy? Not so fast. This is precisely the smartest move Strategy has ever made.
First, preferred stock dividends are not something you can pay with cash just because you have it.
Strategy's annual preferred stock dividend payments alone are about $1.5 billion. This money is a rigid obligation – it must be paid on time, not a single day's delay. The $2.55 billion in cash looks like a lot, but can it be used freely? No. It serves as collateral, operational reserves, and the ballast for regulatory compliance. Touch it, and the rating drops; touch it, and funding channels break; touch it, and the entire capital structure's credit collapses. Half of the cash on the books is "visible but untouchable."
Cash is the safety net; BTC is the ammunition.
Second, losing $55 million selling BTC might be more valuable than making $55 million. Don't laugh – this is the basics of tax planning. Realizing a capital loss can directly offset future capital gains taxes. In the second quarter, Strategy recognized a digital asset impairment loss of $8.32 billion. By voluntarily realizing a portion of that loss now, it essentially locks in a tax shield option for the future.
Do you think he's losing money? He's trading a $55 million realized loss for a tax shield worth several times that in the future. Retail investors look at "am I up or down." Institutions look at "maximizing after-tax net returns."
Third, and the most ruthless – signal management.
Imagine this scenario: Strategy has $2.55 billion in cash, and the preferred stock dividend is due. If it directly used cash to pay – what would the market think? "Strategy's cash flow is drying up!" "It can't even afford $1.5 billion!" "Run!" The stock would crash, preferreds would crash, funding channels would collapse, and the entire flywheel would stall.
But what about selling BTC to pay the dividend? The signal sent is completely different – "The cash reserve remains untouched; that's strategic." "Selling BTC is just liquidity management, not a core position change." "Our capital structure is still solid." The result? STRC preferreds rebounded from a low of $73.62 at the end of June to over $90.
The capital market tells you with real money: they understand it and approve it.
Jiang Zhuo'er said, "The narrative of never selling Bitcoin has essentially ended." Wrong. "Never sell Bitcoin" is a tactical slogan, not a mathematical formula. Strategy's real goal has never been "holding the most BTC" – it's "maximizing BTC per share."
When MSTR's mNAV falls below 1.22x, issuing common stock to buy BTC is net harm to old shareholders. In that case, selling BTC to pay dividends or even buying back shares is a better solution to increase BTC per share.
Do you think he's betraying his faith?
He's guarding his faith in a smarter way. Don't use retail investor thinking to understand institutional behavior. Retail looks at "buy or sell." Institutions look at "capital structure, tax efficiency, signal gaming." Losing $55 million selling BTC may be smarter than using $2.5 billion in cash. Because some money, if touched, is death; some coins, if sold, is life.
"Faith can't put food on the table, but capital structure can." "Saylor hasn't betrayed Bitcoin; he's finally learned to speak Wall Street's language."
Do you think Strategy's move is "truly smart" or "an excuse"? Is your BTC position following the institutions or going against the grain? See you in the comments. $BTC