Strategy (MSTR), the Bitcoin treasury firm formerly known as MicroStrategy, says dollar reserves now offset nearly all its $6.75 billion debt. MicroStrategy stock climbed 12% on Thursday as fears of forced bitcoin (BTC) sales faded.
The company put its net leverage at roughly 0.1% in the announcement. In plain terms, its cash nearly cancels its debt, while its 840,447 BTC stack stands almost free and clear.
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MicroStrategy Stock Jumps as Cash Nearly Matches Debt
MSTR traded at $138.38 by midday Thursday, up 12%. The stock is now down less than 9% in 2026. One session repaired much of the year’s damage.
The advance builds on last week’s crypto stocks rally, which had already lifted MSTR to a two-month high.
The company’s chart shows MicroStrategy holds $6.69 billion in dollars against $6.75 billion of debt. The gap is just $60 million.
The centerpiece is a $5.10 billion reserve earmarked for dividend and interest payments. That pot held $4.0 billion at the start of August, per an SEC filing.
It swelled because the firm raised $3.28 billion this month and bought no Bitcoin at all.
STRC is Strategy’s largest preferred share series. Its terms pay a 12% annual dividend on nearly $10 billion of notional value.
Does the Bitcoin Sell-Off Fear End Here?
The fear was never abstract. MicroStrategy sold 1,638 BTC in July at roughly $64,000 per coin, the same filing shows. That sale fed doubts the treasury could survive a long crypto winter.
Skeptics argued a deeper drawdown would force more selling to cover obligations. Cash matching nearly all the debt weakens that case considerably.
Meanwhile, the prize is scale. MicroStrategy began buying Bitcoin in August 2020 and now controls roughly one of every 25 coins that will ever exist. The stack is worth about $67.9 billion, with Bitcoin trading above $80,000 at press time.
The margin is thin, though. The company paid an average of $75,419 per coin, so the whole treasury sits barely 4% in profit.
Other risks moved rather than vanished. Preferred shares still rank ahead of common stock and demand steady dividends. Much of the new cash came from selling MSTR shares, which dilutes holders.
The stock also remains well below last year’s levels after a bruising one-year performance duel with Bitcoin itself.
Saylor recently published a Bitcoin credit risk model that maps the price floors where those obligations bite. The next question is simple. Does Strategy start buying Bitcoin again, or keep stacking dollars?