$4.2B Offering From Strategy Signals More Bitcoin Buys After $14B Q2 Upside
Software intelligence firm Microstrategy (Nasdaq: MSTR), which has rebranded as Strategy, announced on July 7 that it launched a $4.2 billion at-the-market (ATM) offering of its 10.00% Series A Perpetual Stride Preferred Stock (STRD Stock). The company stated:
Strategy intends to use the net proceeds from the ATM Program for general corporate purposes, including the acquisition of bitcoin and for working capital.
Additional uses may include dividend payments on its other preferred stock classes. The ATM sales will occur over an extended period, depending on market conditions and trading volume.
Under the terms of the sales agreement, STRD Stock may be sold by agents in transactions deemed “at the market offerings” under U.S. Securities and Exchange Commission (SEC) rules, or through other methods permitted by law, including negotiated deals or block trades. The program is registered under an existing automatic shelf registration, effective since Jan. 27, and is executed only through a prospectus supplement filed on July 7. This structure gives Strategy flexibility to raise capital incrementally and opportunistically, adapting to market demand and price dynamics.
This funding mechanism supports Strategy’s ongoing capital markets activity. In the second quarter alone, the company received nearly $6.8 billion in net proceeds from related equity offerings, including a $979.7 million underwritten sale of STRD Stock on June 10, and contributions from existing STRK and STRF ATM programs.
As of June 30, Strategy held 597,325 BTC acquired at an aggregate purchase price of $42.4 billion, with an average cost basis of $70,982 per bitcoin. The unrealized gain on digital assets for the second quarter was $14.05 billion, boosting the digital asset carrying value to $64.36 billion. In a post on social media platform X, the company highlighted the result:
Strategy reports $14 billion in total bitcoin fair value appreciation in Q2 2025.
