Strategy, one of the largest corporate holders of Bitcoin, has outlined its approach to navigating market turbulence and balancing shareholder obligations. CEO Phong Le told the What Bitcoin Did podcast that selling Bitcoin would only be considered under very specific circumstances.
Le explained that if the company’s shares trade below net asset value (NAV) and access to fresh capital dries up, liquidating BTC holdings becomes “mathematically” justified to protect what he calls “Bitcoin yield per share.” However, he emphasized that this would be a last-resort measure, not a shift in company policy. “I would not want to be the company that sells Bitcoin,” Le said, noting that financial discipline must override emotion when markets turn hostile.
How Strategy’s Model Works
The company’s model revolves around raising capital when shares trade at a premium to NAV, then using those funds to buy more Bitcoin. This increases BTC held per share and benefits long-term shareholders.
Le noted that when the premium disappears, selling a portion of Bitcoin to meet obligations could be acceptable if issuing new equity would be more dilutive.
$800 Million Dividend Obligations
Investors have also been watching Strategy’s expanding fixed payments tied to preferred shares introduced this year. Le estimates annual obligations near $750–$800 million. His plan is to fund these dividends primarily through equity raised at a premium to NAV, reinforcing the market’s expectation that the company will continue paying dividends even in challenging conditions.
“The more we pay dividends every quarter, the more the market recognizes that even in a bare market, we’re committed to payouts. That starts to price up the shares,” Le said.
Long-Term Confidence in Bitcoin
Beyond mechanics, Le reaffirmed Strategy’s long-term thesis on Bitcoin, highlighting its appeal as a scarce, non-sovereign asset with global demand. “It’s non-sovereign, has a limited supply… people in Australia, the US, Ukraine, Turkey, Argentina, Vietnam, and South Korea — everyone likes Bitcoin,” he noted.
New BTC Credit Dashboard
To reassure investors amid recent market volatility, Strategy unveiled a “BTC Credit” dashboard, tracking the company’s exposure and financial resilience. According to Le, the dashboard shows the company has enough dividend coverage for decades, even if Bitcoin’s price remains flat.
Strategy claims that its debt remains well-covered even if BTC falls to its average purchase price of about $74,000, and is still manageable even at $25,000.
Bottom Line:
Strategy remains committed to its Bitcoin accumulation strategy, treating selling BTC as a contingency rather than a policy. With dividends and debt obligations carefully modeled, the company signals confidence in both Bitcoin’s long-term value and its ability to navigate short-term market turbulence.