Strategy 8-K

Summary

Bitcoin sales and Q2 2026 financial update, alongside a principal accounting officer designation. Strategy sold 3,588 bitcoin across 6/29–7/5, using the proceeds for preferred-stock distributions and to replenish its USD reserve. It reported a preliminary $8.32B loss on digital assets for Q2, including a full valuation allowance against the related deferred tax benefit and asset. Andrew Kang, Strategy’s CFO, became principal accounting officer effective 6/30/2026, following Jeanine Montgomery’s retirement; he receives no additional compensation for the role.

Key Figures

• Bitcoin sales, 6/29–6/30: 1,363 BTC for $80.8M aggregate net proceeds; average net sale price $59,256 per BTC. Holdings at 6/30: 846,000 BTC, with $63.94B aggregate purchase price and $75,578 average purchase price, inclusive of fees and expenses.
• Bitcoin sales, 7/1–7/5: 2,225 BTC for $135.2M aggregate net proceeds; average net sale price $60,773 per BTC. Holdings at 7/5: 843,775 BTC, with $63.69B aggregate purchase price and $75,476 average purchase price, inclusive of fees and expenses.
• Q2 digital asset loss: $8.32B, comprising $8.31B unrealized loss and $0.9M realized loss. Digital asset carrying value was $49.67B at 6/30. Bitcoin cost basis exceeded fair value; Strategy said the valuation allowance will fully offset the associated deferred tax benefit and deferred tax asset.
• USD reserve: $2.55B at 7/5. Up to $1.25B of additional proceeds may be generated through the BTC Monetization Program for the reserve; the full capacity remained available at 7/5. No shares were sold under the at-the-market program or purchased under the share repurchase programs during 6/29–7/5.

Guidance

No guidance in this filing.

Investor Takeaways

• Watch subsequent bitcoin sales and the USD reserve balance, including use of the remaining monetization capacity to support preferred dividends and debt interest.
• The Q2 financial update was prepared by management and was not audited or reviewed by KPMG; finalized Q2 reporting will clarify the recorded effects of the digital asset loss and valuation allowance.