Strategy announces Digital Credit Capital Framework, ending its ‘never sell’ Bitcoin policy

Strategy Inc. just did something it swore it would never do. The company announced a Digital Credit Capital Framework on June 29 that formally permits the sale of Bitcoin from its treasury, ending the “never sell” mantra that defined Michael Saylor’s multi-year accumulation strategy.

The framework authorizes up to $1.25 billion in Bitcoin sales through a newly created monetization program. It also greenlights $2 billion in total repurchases, split evenly between $1 billion in Digital Credit Securities and $1 billion in Class A common stock. MSTR shares responded favorably, climbing nearly 7-8% in pre-market trading.

What the framework actually does

Strategy currently holds approximately 847,363 BTC, acquired at an average cost of roughly $75,651 per coin. The company’s USD Reserve currently sits at approximately $2.55 billion. Combined with the $1.25 billion Bitcoin monetization authorization, Strategy says it has roughly 25.9 months of liquidity coverage. That’s important because the company’s preferred dividends and interest obligations run about $1.76 billion annually.

This wasn’t entirely without precedent. In late May 2026, Strategy quietly sold 32 BTC for approximately $2.5 million. It was the company’s first Bitcoin sale since 2022, a small transaction that now looks like a test run for the broader framework.

Why Saylor blinked

Strategy has been issuing convertible notes, preferred stock, and other instruments at an aggressive pace to fund its Bitcoin purchases. Those instruments come with obligations, specifically the $1.76 billion in annual dividends and interest.

Saylor and CEO Phong Le framed the shift as a move toward “dynamic capital allocation.” The stated goal is to maximize Bitcoin holdings per share while maintaining enough liquidity to service preferred securities. Rather than maximizing total BTC held, the company is now optimizing for per-share value, which means buybacks funded by selective Bitcoin sales could theoretically be accretive even if the total Bitcoin count drops.

What this means for MSTR investors

The $1 billion common stock buyback authorization is particularly interesting. If Strategy sells Bitcoin at high prices and repurchases its own shares at a discount to net asset value, it could increase the Bitcoin-per-share ratio. Sell high on BTC, buy low on MSTR, and each remaining share represents a bigger slice of the Bitcoin pie.

Investors watching MSTR should pay attention to two metrics going forward: the company’s Bitcoin-per-share ratio, which is now the stated optimization target, and the pace at which the $1.25 billion monetization authorization gets deployed.

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