This morning, Michael Saylor, the founder of Strategy, revealed new acquisitions of Bitcoin (BTC) financed through direct dilution of MSTR shareholders.
Despite MSTR’s lagging performance compared to BTC, Saylor has opted not to reinstate the restriction on common share dilution that was lifted on July 31.
On July 31, 2025, Strategy clearly communicated to its common shareholders: “We will refrain from issuing MSTR below a multiple of 2.5 times mNAV except for paying interest and dividends.”
However, just two weeks later on August 18th, the company altered its stance by stating it would dilute MSTR shares “when deemed beneficial for the company.”
In recent weeks following this change in policy guidance, Strategy and Saylor have fully utilized this opportunity. The firm diluted its common shareholders by a total of 3,278,660 shares, spending $1,132,700,000 to acquire approximately 10,010 BTC.
While Strategy is recognized as a BTC treasury entity valued based on how effectively it accumulates BTC for investors; ; ; ; ;
MSTR’s stock hasn’t managed to surpass this benchmark despite these dilutive acquisitions.
Since closing at $363.60 on August 18th;, ,, ,, ,
MSTR has dropped over ten percent as per current publication data.
During the same timeframe;, , , ,
BTC experienced only a two percent decline.
Essentially;; ; ; ;
MSTR underperformed against BTC by an uncomfortable margin of eight hundred basis points after reinstating its dilutive ATM offerings.
From August eighteenth through twenty-fourth:; : : :
Strategy diluted MSTR with eight hundred seventy-five thousand three hundred one shares resulting in net proceeds totaling three hundred nine point nine million dollars.
Between August twenty-sixth and September first,; ,,,
the company further diluted with one million two hundred thirty-seven thousand shares generating four hundred twenty-five point three million dollars in net proceeds.
During September second through seventh,; ,,,
another five hundred ninety-one thousand six hundred six shares were issued yielding two-hundred point five million dollars in net revenue.
From September eighth until twenty-first,; ,,,
two-hundred twenty-seven thousand four-hundred one additional shares were sold bringing eighty-point six-million-dollar returns.
Most recently between September twenty-second till twentyeighth,;; ;;;
threehundred fortyseven-thousand-threehundred fifty-two-shares raised onehundred sixteenpointfourmilliondollars.
Nearly all these funds went towards purchasing more bitcoin.
Including both above-mentioned dilution alongside other fundraising efforts like preferred share sales – from Aug eighteen-twentyfour USD356point9million worth purchased – followedbyUSD449point3millionfromAugtwentysix-Septfirst – thenUSD217point4millionSeptsecond-seventh – subsequentlyUSD159point9millioneighth-twentyfirst-andfinallyUSD22point1millionspenttwentysecond-twentyeighth.
<i>Read more: Michael Saylor continues modifying promises leadingtofurtherdilutionofMSRT</i>
MOST DILUTION COVERED NINETYFOURPERCENT OF BITCOIN PURCHASES SINCE AUGUST EIGHTEENTH
As-of-August-eighteenth-Strategy-held-sixhundredtwentyninethousandthreehundredsix-bitcoins-.-today-it-possesses-sixhundredfortythousandandone-bitcoins-.-Dilution-financed-most-of-this-acquisition
Dilution-funded-onebilliononethirtytwomillionsevenhudnreddollars-or-ninetyfourpercentoftotalbitcoin-purchases-worthonetwobillionsixfivehudnreddollars-since-August-eighteenth
All-sales-remained-within-onetotwoandahalfmultipletonetassetvalue-tradingrange-for-MSRThowever-strategy-julythirdyfirstpromise-explicitlyforbade-until-company-abandoned-that-promise-on-Augusteighteenth
Indeed-MSRThasn’ttradedoutsideaonetotwoandahalfmnavrangesinceDecembertwozerozerofour
Interestingly-thecompanysmostrecentfundraiseseptembertwentysecondtotwentyeightdoesntseemtobefullyexpendedonbitcoinpurchaseoncetheiracquisitionsarefinishedifthecompanyplanstobuymorethisratiocouldchangeslightly
Unlikeallpriorfundraiseswherealmostfullamountproceedswereusedtobuybitcointhecompanyonlyspentseventeen-point-two-percentofitsonehuundredeightytwo-in-netproceedsfromSeptember22-28buyingbitcoin
Ofcoursequarterlydividendobligationstopreferredshareholdersmightpreventfurthercashspendingonbtcifsoabovenintyfourpercentfigurewouldremainunchanged
Forjusttwo-weeks-inAugust-MSR-shareholders-were-protected-from-relentless-dilution-by-strategyleadershipsince-reintroduction-dilutionsharecountballoonedone-point-two-percentwhileunderperformingbtcbenchmarkbyeight-hundredbasispoints