Strategy Inc. announced the creation of a $1.59 billion cash pool designated for Bitcoin purchases, preferred stock dividends, debt obligations, and share repurchases. The company, which holds approximately 4% of the total Bitcoin supply, also reported no Bitcoin transactions in the week ended Sunday, per a Monday filing.
The new cash pool will operate alongside Strategy’s existing $5.1 billion USD reserve, according to a Monday announcement. Michael Saylor, the company’s founder, stated the reserve would enhance the firm’s Digital Credit Capital Framework and support general Bitcoin Treasury operations, including Bitcoin acquisitions and preferred dividend payments.
Strategy repurchased $136 million of its Stretch preferred shares and sold roughly $2 billion in common shares over the prior week. The company has not purchased Bitcoin since the seven-day period ending June 22, and its net leverage stood at approximately 0% as of August 23.
Bitcoin’s price approaching $80,000 contributed to gains in Strategy’s shares and debt securities last week. The company’s stock traded about 2.5% higher in pre-market trading on Monday.
