Strategy Buys $2.46 Billion Bitcoin After STRC IPO
Strategy, previously known as Strategy, has made its largest Bitcoin purchase this year, fueled by the completion of its STRC IPO. This IPO is also the largest of the year, reflecting strong institutional demand for BTC exposure.
Strategy Acquires 21,021 Bitcoin
Strategy announced that it acquired 21,021 BTC for $2.46 billion, averaging $117,256 per Bitcoin, using net proceeds from its STRC IPO. This brings its total holdings to 628,791 BTC, acquired for $46.8 billion at an average purchase price of $73,227 per Bitcoin.
The company's BTC yield is 25.0% year-to-date (YTD). This purchase follows a brief pause in Bitcoin acquisitions between July 21 and 27.
This acquisition surpasses previous purchases of $1.92 billion in March and $1.34 billion in May, reinforcing Strategy's position as the largest public Bitcoin treasury.
Strategy had previously announced its intention to use the net proceeds from the STRC IPO to increase its Bitcoin holdings. The gross proceeds from the offering were approximately $2.521 billion, with net proceeds of around $2.474 billion after deducting underwriting discounts, commissions, and estimated offering expenses.
STRC IPO: The Year's Largest Offering
Strategy noted that the STRC IPO is the largest U.S. initial public offering this year based on gross proceeds and the largest crypto-related offering in recent years. It's also the largest U.S. exchange-listed perpetual preferred stock offering since 2009. STRC is expected to trade on the Nasdaq under the ticker 'STRC.'
Earlier this year, Strategy launched three other Bitcoin-backed stock offerings, raising $584 million, $723 million, and $1 billion from the STRK, STRF, and STRD offerings, respectively.
Upon listing on the Nasdaq, STRC will be the first U.S. exchange-listed perpetual preferred security issued by a Bitcoin Treasury to pay monthly dividends. The stock is also designed as a short-duration, income-oriented instrument within Strategy’s series of preferred offerings.
The MicroStrategy stock (MSTR) is trading flat in after-hours trading. TradingView data shows a 2% drop during today's trading hours, falling below $400.