Saylor's Bitcoin Vault May Have to Spill $4B to Keep STRC's $100 Fantasy Alive 🧮

Strategy (NASDAQ: MSTR) could be forced to sell roughly $4 billion worth of Bitcoin, or alternatively offload shares of MSTR itself, to lift its STRC preferred stock back toward its $100 par value, according to Arca Chief Investment Officer Jeff Dorman. In a post on X, Dorman wrote that the "MSTR pickle continues," adding that management will have to take a hard decision because of mounting pressures on its capital structure. He outlined the choice as either "sell an enormous amount of BTC and MSTR to help bring STRC back up near par," or continue to "watch every part of your cap structure melt because of the uncertainty [they've] created."

STRC fell as low as $82.53 on June 18 before rebounding to close at $88.59, well below its $100 par. The preferred-share slide has drawn public criticism, with economist Peter Schiff warning of potential lawsuits against Michael Saylor's Strategy over the decline in STRC's value. Dorman assigned a 70% probability to his base case that Strategy will continue its existing pattern of selling "small amounts of MSTR every m[onth]," though he flagged the larger Bitcoin-sale scenario as a live possibility.

The pressure comes as Strategy executed a 32 BTC sale earlier this month, the first such sale under Saylor, who has long urged investors never to part with their Bitcoin holdings. The move sparked criticism from crypto market watchers and netizens. Separately, a market note from QCP Capital suggested Strategy may need to offload additional Bitcoin to support upcoming dividend payments, while noting that macro conditions have improved slightly with reduced geopolitical tensions.

For now, Strategy has continued to raise funds and acquire Bitcoin even as STRC trades below par and MSTR shares have pulled back at the start of the month. Dorman and QCP both framed further Bitcoin sales as a contingency rather than a stated company plan, and Strategy has not publicly committed to any new BTC disposition.