Strategy repurchases $176M of STRC shares, buys no Bitcoin

For a company that has essentially become a Bitcoin holding vehicle with a stock ticker, Strategy did something unusual last week: it spent $176.3 million and didn’t buy a single satoshi.

Instead, the firm formerly known as MicroStrategy repurchased approximately 1.81 million shares of its Variable Rate Series A Perpetual Stretch Preferred Stock, ticker STRC, at an average price of roughly $97.48 per share. The company’s Bitcoin stash remains untouched at 845,050 BTC, acquired at an average cost of approximately $75,412 per coin.

A different kind of buy signal

The STRC repurchase falls under Strategy’s Digital Credit Securities Repurchase Program, which the board authorized on June 29, 2026. That program greenlit up to $2 billion for buying back preferred securities, with STRC as the primary target, plus another $1 billion earmarked for common MSTR stock repurchases.

With this latest transaction, cumulative STRC buybacks have now exceeded $635 million at an average price of around $94.38 per share. The current batch was picked up at $97.48, closer to STRC’s $100 par value than earlier rounds, suggesting the discount window may be narrowing.

STRC carries a 12% annualized variable dividend. Strategy funded this entire repurchase from USD cash reserves. No Bitcoin was sold. No new debt was issued.

Why Strategy stopped stacking (for now)

Strategy holds 845,050 BTC, a position so large it effectively turns MSTR shares into a leveraged Bitcoin proxy for equity investors. STRC was trading below its $100 par value. Buying it back at a discount retires a security that pays 12% annually.

The capital structure puzzle

STRC, which came into existence in 2025, carries a 12% dividend — roughly triple what investment-grade corporate bonds yield in the current environment. Every STRC share that gets retired below par value eliminates future dividend payments.

Cumulative buybacks at an average of $94.38 per share mean Strategy has been capturing roughly a 5.6% discount to par on average across all its STRC repurchases. On $635 million in total buybacks, that translates to meaningful savings on what would have been perpetual dividend obligations.

With up to $2 billion authorized for preferred securities and only $635 million deployed so far, Strategy has over $1.3 billion in remaining capacity for additional STRC repurchases.

Strategy still has $1 billion authorized for common stock buybacks that hasn’t been touched. With 845,050 BTC on the books at an average cost basis of $75,412, Strategy’s Bitcoin position is already enormous.

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