Bitcoin Overnight: Strive Buys BTC as Strategy Buys STRC
Strive acquired 6,182 bitcoin in one week, lifting its total to 43,000 BTC, while Strategy spent $204.9 million repurchasing 2,068,459 shares of its own preferred security, STRC.
Disclosures filed Monday revealed a new stage in the Bitcoin treasury trade. Strive bought 6,182 BTC from October 17 through October 23 at an average price of $82,732 per bitcoin, inclusive of fees and expenses. Its holdings rose from 36,818 BTC to 43,000 BTC.
The company also reported $504.4 million of cash and cash equivalents as of October 23, up from $317.5 million before the transactions described in the filing. This increase in cash accompanies the new bitcoin, showing a shift in its capital allocation.
Strive's filing describes several transactions over seven days rather than one block purchase, so the $82,732 figure is a period average, not the price of every coin. The company also issued more common shares, with outstanding Class A common stock increasing from 124,064,126 shares to 127,328,346 shares.
Strategy Bought STRC Instead of Bitcoin
Strategy reported a very different week. From October 19 through October 25, it sold no common or preferred shares through its at-the-market programs and bought or sold no bitcoin. It repurchased 2,068,459 STRC shares for approximately $204.9 million using USD Cash.
Buying below that reference value can let a company reduce preferred claims at a discount. It can also support liquidity or signal that management sees value in its own security.
Strategy still held 848,517 BTC acquired for $64.02 billion at an average cost of $75,446 per bitcoin, including fees and expenses. It also disclosed a $4.83 billion USD Reserve, $242.4 million of USD Cash, $956.8 million of remaining preferred-repurchase authorization and a separate $1 billion MSTR common-stock repurchase authorization.
STRC is Strategy's variable-rate perpetual preferred stock. It carries claims and dividend economics that differ from MSTR common stock and from direct bitcoin ownership. During the week, Strategy chose to buy back STRC rather than add to its bitcoin stack.
Capital Structures Become Markets
The contrast matters because Bitcoin treasury companies are no longer defined only by how much capital they can raise and how many coins they can accumulate. Their capital structures are becoming markets of their own.
Cash, common stock, preferred shares, dividend obligations and cross-company holdings now sit around the bitcoin. This does not make the structure fraudulent or automatically unsound, but it does make the analysis more demanding.
Investors must follow who owns the bitcoin, who owns the securities funding it and how cash moves between those claims. The latest filings from Strive and Strategy add another reason to keep that distinction visible: both companies are simultaneously accumulating bitcoin, issuing equity and holding a security issued by another Bitcoin treasury company.
Related
