Strategy Expands Preferred Stock Buyback Program to $3B Following $193M Repurchase Week

Strategy has boosted its preferred stock buyback authorization by $1 billion to a maximum cap of $3 billion, according to an SEC Form 8-K filing submitted on Oct. 19 ¹. The expansion follows a seven-day window between Oct. 12 and Oct. 18 during which the treasury firm spent $193.1 million to repurchase 1,938,780 shares of its STRC preferred stock ¹. Over the same period, Strategy acquired 267 $BTC for $22.1 million at an average purchase price of $82,900 per coin, including fees ¹.

The preferred stock buybacks outpaced Strategy's direct cryptocurrency acquisitions by roughly nine to one during the week ¹. That purchase brought the firm's total bitcoin holdings to 848,517 BTC, accumulated for an aggregate cost of $64.02 billion at an overall average of $75,446 per coin ¹. At the time of writing, $BTC traded around $82,516. The latest bitcoin allocation follows previous portfolio maneuvers, including when Strategy allocated 9.5% of Q3 share proceeds to direct bitcoin purchases.

Treasury Reserves and Dividend Voting

The expanded $3 billion ceiling covers all historic repurchases under what Strategy designates as its digital credit securities repurchase program ¹. Following the authorized increase, $1.16 billion remained open for buybacks as of Oct. 18, compared to $354.8 million remaining under the preceding $2 billion threshold a week prior ¹. A distinct buyback authorization for MSTR common stock maintained an unused $1.0 billion balance, with zero common shares repurchased across the weekly period ¹.

Strategy funded the STRC buybacks via its USD Cash balance, which decreased from $640.5 million to $447.3 million across the week ¹. The firm generated the $22.1 million required for its bitcoin acquisition through $22.0 million in net proceeds raised from issuing 140,872 MSTR shares via its at-the-market equity program, alongside roughly $100,000 in cash reserves ¹. Separately, the company tapped its USD Reserve for $45.5 million to disburse preferred dividends, bringing that dedicated pool down from $4.88 billion to $4.83 billion ¹. Michael Saylor, the firm's executive chairman, stated on X that Strategy retained total dollar holdings of $5.3 billion ¹. Common shareholders will vote on Oct. 28 regarding an amendment allowing daily dividend payments across STRC and its three sister preferred equities ¹.