Key Highlights
- 2, 2025 at 10:19 am UTC Share Cover art/illustration via CryptoSlate.
- Image includes combined content which may include AI-generated content. Strategy Inc., the corporate Bitcoin vault formerly known as MicroStrategy, has signaled that the mechanics driving its rapid growth have hit a cyclical wall. On Dec.
- 1, the Tysons Corner-based firm revealed that it was prioritizing a $1.44 billion cash reserve and providing investors with detailed parameters for potential asset sales.
- This represents a pragmatic evolution of its treasury management that acknowledges current market constraints. This comes as its stock is trading at a discount to the net asset value (NAV) of its Bitcoin holdings. The move marks a lull in the “premium-driven leverage loop.” In this cycle, Strategy utilized a high equity premium to issue shares and purchase Bitcoin, thereby creating accretive value for investors. As of press time, that dynamic has significantly stalled. Strategy’s shares are trading at approximately 1.15 mNAV (market-to-net asset value).
- If it falls under 1.0 mNAV, equity issuance becomes dilutive, effectively jamming the gears of the company’s primary accumulation engine. Chart Showing Strategy’s Bitcoin Holdings Key MSTR Metrics (Source: Strategy Nov.
