News linked to both this project and an event.
Odaily Ripple CEO Brad Garlinghouse criticized Strategy and its Chairman Michael Saylor's Bitcoin purchasing funding model during a CNBC interview on Friday, stating that "financial engineering cannot create long-term value" and that the long-term value of digital assets should ultimately be driven by real-world utility.Garlinghouse said the Saylor team is not focused on the right direction and believes this approach has already harmed the overall crypto market. He also emphasized that he remains bullish on Bitcoin but opposes Strategy's strategy of continuously adding BTC positions through complex funding structures.His criticism was primarily directed at Strategy's model of issuing preferred stock to fund Bitcoin purchases. STRC is one of the preferred stocks issued by Strategy, carrying an annual dividend obligation of 11.5%. Recently, STRC traded at a discount of approximately 25% to 26% compared to its $100 face value. Garlinghouse described this performance as a "severely negative assessment" of Strategy's approach.
JAN3 CEO posted on X, stating that Strategy should immediately execute an OTC transaction with BSTR. BSTR could pay Strategy $1.5 billion, helping the latter increase its cash reserves to $2.9 billion. Meanwhile, BSTR could add 25,000 BTC to its existing holdings of 30,021 BTC, boosting its total holdings to 55,021 BTC and jumping to second place in the ranking of Bitcoin treasury companies.Odaily note: BSTR, short for Bitcoin Standard Treasury Company, is a Bitcoin treasury company founded by renowned cryptographer and Blockstream co-founder Adam Back. The company is actively raising funds to continue accumulating BTC.
Jiang Zhuo’er stated that the significant deviation of MicroStrategy’s preferred stock STRC price from its par value reflects a decline in U.S. market investors’ risk appetite for Bitcoin. He believes that although MicroStrategy can still raise funds by issuing additional common shares, doing so when the price-to-book ratio falls below 1 would dilute the Bitcoin holdings per share—a costly move.
CryptoQuant suggests Michael Saylor's Strategy should currently pause further Bitcoin purchases and instead prioritize rebuilding its cash reserves, as its dividend obligations have significantly increased, cash reserves have sharply declined, and unrealized losses on Bitcoin are widening.Julio Moreno, Head of Research at CryptoQuant, pointed out that Strategy's preferred stock, STRC, fell to $82.50 last week, a 17.5% discount from its $100 par value, marking its largest historical discount. This pressure stems from the bearish Bitcoin market environment and the company's diminished cash buffer capacity.The report states that Strategy recently repurchased $1.5 billion of its 0% convertible senior notes due 2029, further reducing the cash buffer available to support STRC dividend payments. Meanwhile, the company's cash reserves have declined by 38% since the beginning of 2026.On the other hand, as Strategy issues more STRC to finance Bitcoin purchases, its annualized dividend obligation has risen from approximately $300 million at the start of the year to roughly $1.2 billion currently—a nearly fourfold increase in less than six months. CryptoQuant believes the company should become more selective in its Bitcoin purchases rather than continuing indiscriminate accumulation amid intensifying cash pressures.
Bitcoin has dropped approximately 40% since Strategy launched its Bitcoin financing instrument, STRC, which has now fallen below its $100 issuance par value. This has sparked market debate over the sustainability of Michael Saylor’s Bitcoin “flywheel” model. Strategy currently holds over 846,000 BTC, but its purchase pace has notably slowed recently. Data shows that during the week ending June 8, the company added 1,550 BTC, worth approximately $101 million. The following week, ending June 15, it added another 1,587 BTC, valued at about $100 million. In contrast, during a single week in April 2026, the firm bought 34,164 BTC for $2.54 billion, indicating a significant decline in its recent capital deployment.Meanwhile, Strategy previously sold 32 BTC to meet dividend obligations. While minimal relative to its total holdings, the market views this as a sign that cash flow pressures could intensify if STRC’s funding efficiency declines. STRC was originally designed as a preferred stock instrument trading near its $100 par value, using dividend adjustments to attract investors and help Strategy raise capital for Bitcoin purchases. STRC has now fallen to historic lows, once dropping to $82.53 before closing at $88.59—roughly 13% below par value.Critics argue that STRC’s dip below par indicates mounting pressure on Strategy’s funding channels. Peter Schiff, a long-time Bitcoin critic, labeled STRC “a typical centralized Ponzi scheme,” claiming the model relies on continuous financing or Bitcoin sales to sustain itself. Crypto trader DonAlt also questioned STRC’s recent performance, describing its trading behavior as resembling a “Ponzi scheme.”However, some analysts believe STRC’s decline is more due to leverage liquidations than a fundamental deterioration of Strategy. STRC had long traded around $99 to $100, attracting leveraged traders. When the price broke below a key level, forced liquidations were triggered, exacerbating the drop.Analyst Scott Melker noted that STRC’s current yield has actually improved due to the discount. Since dividends are calculated based on the $100 liquidation preference, at an STRC price of $90, the 11.5% annualized dividend translates to an actual yield of about 12.8%. If the price falls to $85, the yield could exceed 13%.Strategy is expected to announce its next STRC dividend adjustment by June 30. The market is now focused on whether the STRC discount will persist and whether Strategy’s model of using capital market financing to continuously accumulate BTC can remain stable. (Cointelegraph)
Odaily news, Michael Saylor posted on X platform to review Strategy's Bitcoin strategy journey, stating that when he gave the relevant speech in October 2022, the price of Bitcoin was about $20,000, Strategy held 130,000 BTC at the time, valued at approximately $2.6 billion, and the stock MSTR (adjusted for stock split) was priced at around $24.Michael Saylor stated that weeks later, Bitcoin fell below $16,000, and the company's debt once exceeded the total value of its BTC and cash reserves by about $300 million. The MSTR stock price also dropped to around $13 by the end of 2022. Strategy then persisted in executing its Bitcoin strategy, strengthened company operations, and continued to raise funds to invest in BTC. Since 2022, the company has raised over $60 billion in new capital, which was used to purchase Bitcoin, adding more than 716,000 BTC to its holdings.Michael Saylor said that currently, the value of BTC and dollar reserves held by Strategy exceeds the company's debt by approximately $48 billion. He thanked the investors who have long supported the company and stated that the company will continue to adhere to its long-termist strategy in the future.
Lite Strategy, a Nasdaq-listed Litecoin treasury company, has announced leading a $1 million strategic investment in LitVM. The investment also grants governance participation rights and potential future token subscription opportunities. LitVM is a zero-knowledge Layer 2 scaling network built on Litecoin. The new funds will support its ability to introduce smart contract capabilities and a programmable application layer for Litecoin after its mainnet launch. (Globenewswire)
Nasdaq-listed Lite Strategy announced it is leading a $1 million strategic funding round for ZK Innovations—the development team behind LitVM. LitVM is building a zero-knowledge proof-based Layer 2 network for Litecoin, aiming to introduce smart contracts, decentralized finance (DeFi), real-world asset tokenization, and cross-chain liquidity to the Litecoin ecosystem.
According to The Block, Susie Ward, CEO of Bitcoin Policy UK, publicly criticized Strategy founder Michael Saylor’s promotional video for STRC during an interview at last week’s BTC Conference in Prague, calling it “dishonest” for failing to accurately disclose the product’s risk profile. STRC is a perpetual preferred share offering an 11.25% dividend; Strategy raises funds through its issuance to continuously purchase bitcoin. Ward stated that although she is a staunch bitcoin supporter and also a shareholder of Strategy, she remains cautious about the company’s model of accumulating bitcoin via leverage and equity dilution—arguing that such practices tie bitcoin’s reputation to “fiat games,” with some projects resembling meme coin pump-and-dump schemes.
Odaily News, Susie Ward, CEO of Bitcoin Policy UK and a Bitcoin advocate, stated that although she is also a shareholder of Strategy, she is concerned about the way Michael Saylor promotes STRC, arguing that he has not fully explained the risks of the product.STRC is a perpetual preferred stock issued by Strategy, offering a dividend yield of 11.25%. Strategy raises funds by selling this type of preferred stock and uses the proceeds to continue purchasing Bitcoin, serving its long-term BTC accumulation strategy.Ward stated that when Saylor showcased STRC's returns in a related video, it gave the impression that it was “risk-free,” and she believes this expression is “dishonest.” She is particularly concerned that investors may underestimate the structural risks behind the model of using high-dividend preferred stock financing to purchase Bitcoin.
According to the 8-K filing submitted by Strategy to the U.S. Securities and Exchange Commission (SEC), the company purchased 1,587 bitcoins at an average price of approximately $63,024 between June 8 and 14, 2026, for a total of roughly $100 million. The funds came from the ATM program for MicroStrategy (MSTR) common stock. During the same period, the company sold 1.7326 million shares of MSTR common stock via the ATM program, raising net proceeds of approximately $209 million. As of June 14, 2026, Strategy held a cumulative total of 846,842 bitcoins, with a total cost basis of approximately $64.07 billion and an average purchase price of about $75,656 per bitcoin.
Odaily News, Jack Mallers, founder of Strike and CEO of Twenty One Capital, stated that Bitcoin’s drop below $63,000 is not merely a sentiment issue but a reflection of the reality of insufficient liquidity in the global financial system.Mallers believes that while U.S. consumer confidence is at historic lows, the S&P 500 remains at all-time highs, indicating that traditional stock market signals have been distorted by policy intervention. In contrast, Bitcoin, as a 24/7 trading asset, more closely mirrors the true conditions of global liquidity and market stress.He emphasized that during periods of liquidity tightening, investors often "sell what they can, not what they want." Therefore, Bitcoin's decline may not signify a collapse of long-term conviction but rather forced selling under capital pressure.Additionally, Mallers questioned Strategy's perpetual preferred stock financing structure, suggesting it could place the company in a capital structure dilemma when liquidity is needed in the future, forcing trade-offs among different stakeholders.
According to CoinDesk, Michael Saylor and Bitcoin advocate Matthew Kratter have engaged in a public debate over whether Strategy’s (MSTR) latest round of Bitcoin purchases has diluted shareholders. The dispute centers on Strategy’s Bitcoin yield, which declined from 13.0% on June 1 to 12.8% on June 8 following the acquisition of 1,550 additional BTC. During the same period, the company’s Bitcoin holdings increased from 843,706 BTC to 845,256 BTC, while the diluted share count rose from 382.756 million to 384.180 million shares. Matthew Kratter contends that this shift indicates dilution in terms of “BTC per share.” Michael Saylor counters that Bitcoin yield is merely a narrow metric measuring “BTC per share” and fails to capture overall shareholder value creation. He notes that this transaction also added approximately $100 million in cash reserves, raising the company’s U.S. dollar reserves to roughly $1 billion—thus delivering net value accretion when viewed through a broader balance-sheet lens. The debate over how to interpret these metrics has sparked discussion among market participants. Some argue the company is “adjusting its metrics to fit its narrative,” while short sellers characterize this as a common corporate practice of “metric switching.”
Fortune magazine analyzed that although Bitcoin’s recent decline has weakened MicroStrategy’s (MSTR) stock price, the company’s current market capitalization still trades at a ~31% premium to its underlying net asset value. The analysis suggests this premium stems from the market’s prior endorsement of Michael Saylor’s “Bitcoin appreciation flywheel” model; however, as this model falters, the associated premium faces further compression risk.
Jiang Zhuoer posted on platform X, stating that after selling 32 BTC, Strategy raised $181 million through the sale of common stock to purchase 1,550 BTC (approximately $100 million), with the remaining funds held as cash reserves. This move sustained MicroStrategy's "unshakable faith," as the amount of BTC bought far exceeded the amount sold, aligning with the principle of maximizing benefits. Jiang Zhuoer also stated that the current price is in an upward channel, and he will wait for further price increases before considering selling.Jiang Zhuoer added that as a "BTC maximalist" focused on coin-based holdings, his norm is to hold a full spot position, and therefore he has not opened short positions. The purpose of his swing trading operations is to increase the total number of coins held.
Jiang Zhuo’er, founder of the Litecoin mining pool B.TOP, posted his views on Strategy’s Bitcoin sales. He believes Strategy will not sell large amounts of Bitcoin—only small amounts to pay interest. Jiang argues that Strategy raises funds by issuing new STRC tokens to purchase additional BTC, while simultaneously selling a tiny amount of its early-acquired, low-cost BTC to generate accounting profits for paying STRC interest. This reflects its “rolling strategy.” However, if Strategy sold absolutely no BTC, investors might suspect it was using new funds to pay old interest. Small-scale sales generate genuine profits and help maintain Strategy’s image of “never selling Bitcoin,” thereby facilitating continued fundraising.
According to on-chain analyst PeckShield (@PeckShieldAlert), Strategy sold 32 BTC (average price: $77,135, totaling approximately $2.5 million—0.0038% of its 843,000-BTC holdings) for capital allocation, and concurrently sold 801,994 common shares, raising roughly $128.3 million. This move symbolically broke its “never sell” principle, triggering market volatility: sUSDat—a staked stablecoin fully backed by digital credit (STRC)—briefly dropped nearly 7% to below $0.93 before rebounding to $0.98.
According to independent analyst Markus Thielen, Strategy’s recent small-scale Bitcoin sale following its May earnings call was interpreted by the market as a test of market reaction and the flexibility of its capital allocation strategy. Analysts noted that while Strategy remains highly bullish on Bitcoin, the success and expansion of its STRC preferred stock financing instrument may take precedence in its overall financial arrangements. This move breaks the company’s “buy-only, never-sell” market image maintained for nearly six years; given Strategy’s strong influence on Bitcoin demand, this shift is quietly reshaping market expectations.
According to the UK’s Financial Times, as prices of crypto assets such as Bitcoin weaken, some crypto treasury firms—whose core business is holding crypto assets—have begun pivoting to a new financing instrument dubbed “Digital Credit” following declines in their stock prices. This strategy, promoted by the firm, offers investors high-yield perpetual preferred shares, with proceeds used to continue purchasing Bitcoin. Since its launch roughly 10 months ago, the initiative has attracted approximately $10.5 billion in inflows. Several crypto reserve companies are now planning to emulate this model, including Strive Asset Management, The Smarter Web Company, and Capital B.
: STRC once fell to $97.11, then rebounded and closed at $98.57. Attention is being paid to Strategy's ability to continue using this preferred security as a financing tool through ATM issuance.After repurchasing $1.5 billion in convertible debt, Strategy's cash reserves dropped to approximately $871 million, only covering about six months of its estimated $1.7 billion annual preferred dividend obligations. Strive's perpetual preferred security SATA remains near its $100 par value, supported by an approximately 13% dividend yield and the company's plan to launch daily dividend payments.