Strategy’s USD reserves and cash decline $176M to $6.5B as dividend obligations mount

Strategy, the company formerly known as MicroStrategy, saw its combined USD reserves and cash drop by $176 million, landing at $6,538 million. That’s still a massive pile of dollars for a company whose entire identity revolves around holding Bitcoin, but it marks a notable dip from the roughly $6.7 billion the firm had stockpiled as recently as late August. Where the money went Strategy’s cash obligations are not trivial. The company carries approximately $1.7 billion in annual preferred stock dividends and interest payments. The firm’s dollar holdings break down into two buckets. The core USD Reserve sits at roughly $5.1 billion, earmarked primarily for dividend and interest support. The remaining USD Cash pool ranges between $1.59 billion and $1.614 billion, serving as the more flexible portion of the balance sheet. The no-sell Bitcoin doctrine Strategy has built its entire corporate thesis around accumulating Bitcoin and never selling it. Rather than liquidating any of its massive Bitcoin treasury to cover cash needs, Strategy has relied primarily on at-the-market equity sales to build and replenish its dollar reserves. The ATM equity sales allow Strategy to tap public markets f...