Strategy recently posted its Q1 2025 earnings report, showing over $4.2 billion in net losses despite gains on its Bitcoin holdings

Strategy (formerly MicroStrategy) hasn't shown much interest in changing its plan for systematic Bitcoin acquisition. Its latest earnings report takes great care to show its returns on this investment: It holds 553555 BTC

The first quarter earnings report from Strategy (NASDAQ: MSTR) showed an overall net loss of over $4.2 billion despite gains on its Bitcoin holdings. Shortly afterward, the firm declared its intention to sell $84 billion in new offerings.

Shareholders are responding with fear of failing fundamentals and own stocks being diluted. Yet, this plan has its supporters with Bitcoin’s price on the rise.

Strategy’s Biggest Bitcoin Buy

Strategy (formerly MicroStrategy) showed little interest in changing its plan for systematic Bitcoin acquisition. The latest earnings report highlights this with its returns on the investment: 553,555 BTC at an average cost of $68,459, generating a $5.8 billion gain.

However, the company reported a net loss of over $4.2 billion. The firm's reported net losses are largely due to a $5.9 billion unrealized loss on digital assets, reflecting the volatile nature of cryptocurrency investments.

These unrealized losses have drawn concern from the community and speculation that the company might have to sell its Bitcoin. In early April, these losses possibly contributed to a pause in its BTC purchases.

Initially, the report claimed that Strategy was offering $21 billion in new stock sales to buy more Bitcoin. But soon after, Michael Saylor claimed that his firm was setting a much more audacious goal:

“Strategy… doubles capital plan to $42 billion equity and $42 billion fixed income to purchase bitcoin, and increases BTC Yield target from 15% to 25% and BTC $ Gain target from $10 billion to $15 billion for 2025,” Saylor said.

The community is conflicted about this announcement. Two months ago, Strategy’s entire Bitcoin holdings amounted to $42 billion, and its largest stock offering in 2025 was $2 billion.

Compared to these figures, $84 billion in new offerings looks completely infeasible for several reasons. The main concern isn’t even finding enough buyers.

Dear MSTR shareholders, you’re getting bent. Saylor needs to sell more common stock which he knows the shareholders won’t like. Therefore he disguises it in a “42/42” plan, despite having 20 BILLION of unsold preferred remaining from the previous plan. Why not issue it all?… https://t.朝新站得近一點

News data source: kdj.com

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