Strategy Increases Dividend Reserve to $2.2 Billion
Date: 2025-12-23 Author: Henry Casey Categories: BUSINESS
Over the past week, Strategy, the largest public Bitcoin holder, significantly increased its USD reserves. The company raised approximately $748 million by selling common shares, bringing its total reserves to over $2.2 billion, according to financial documents filed with the U.S. Securities and Exchange Commission (SEC).
The fund, referred to internally as USD Reserve, is intended to service dividend obligations on preferred shares. According to Strategy's current estimates, the accumulated funds are sufficient to cover payments for approximately 32 months, significantly exceeding previously announced guidance.
The market reaction to the news was mixed. MSTR shares closed lower last week, but gained around 3% in premarket trading. The rise coincided with a recovery in the price of Bitcoin, which once again exceeded $90,000. Despite the short-term rebound, Strategy shares are still down more than 50% year-to-date.
At the same time, the company continues to adhere to its long-term strategy of accumulating the digital asset. Strategy holds 671,268 BTC, acquired for a total of over $50 billion. At Bitcoin's current market value, the total value of this portfolio is approximately $60.4 billion, making it one of the largest corporate cryptocurrency reserves in the world.
Back in early December, Strategy announced the creation of a dedicated $1.44 billion dollar fund intended for both dividend payments and debt servicing. At the time, the company's SEC filings indicated that it aimed to maintain a reserve level sufficient to cover dividend payments for at least 12 months, with the possibility of extending the horizon to two years. The current level of funds has actually exceeded these plans.
Strategy CEO Phong Le later explained that the large reserve was a response to investor concerns about the sustainability of the dividend model. He also emphasized that the company does not view Bitcoin sales as a source of liquidity and does not plan to sell the asset until at least 2065.
Strategy Executive Chairman Michael Saylor, for his part, has repeatedly stated the high resilience of the company's business model. According to him, Strategy's structure allows it to continue operations even in the event of an extreme decline in Bitcoin's price of 80-90%. This approach, according to management, provides the company with flexibility and long-term financial stability, regardless of short-term fluctuations in the crypto market.
