Simply put
- The strategy reported a second-quarter profit of $10 billion.
- Bitcoin holdings increased by 20% in the second quarter, totaling 597,000 BTC.
- The company recently invested an additional $2.5 billion in Bitcoin.
The strategy, formerly known as MicroStrategy, announced an impressive profit of $10 billion on Thursday, primarily due to a recovery in Bitcoin’s value during the second quarter.
Based in Tysons Corner, Virginia, the company holds more Bitcoin than any other publicly traded firm, with a second-quarter revenue of $114.5 million, marking a 3% increase compared to last year, according to a recent blog post.
Such profits were somewhat anticipated, especially in light of the $5.9 billion loss the Bitcoin Treasury faced in the preceding quarter when values dipped. The asset’s price had plummeted to $77,000 but rebounded to $111,000 in the second quarter.
On Thursday, the strategy made a submission to the Securities and Exchange Commission stating it plans to raise $4.2 billion through the STRC offering. They recently introduced some permanent preferred stock options.
Co-founder Michael Saylor remarked that regulatory changes are significantly pushing the cryptocurrency sector. He referenced a recently released comprehensive crypto report from the White House as very encouraging.
“The White House presented its Crypto Policy Report yesterday, which is about 150 pages. We took a look at it,” he mentioned. “It appears this administration is very supportive of the crypto industry and the Bitcoin ecosystem.”
Since 2020, the company has transitioned from software development to accumulating Bitcoin, amassing a total of 628,800 Bitcoin worth about $74 billion. By the end of the second quarter, it held 597,000 Bitcoin, reflecting a quarterly growth of 20% from a previous 499,000 Bitcoin.
This year has seen a surge of Crypto Treasury companies, but the strategy is arguably leading the way. Their stocks have developed a unique playbook, creating a premium in stock trades as compared to crypto holdings, while also issuing corporate debt to fund more Bitcoin purchases.
This year, they have issued multiple types of preferred stocks to finance Bitcoin acquisitions. On Tuesday, the strategy revealed it raised $2.5 billion via STRC and subsequently bought around 21,000 Bitcoin.
In a blog post, the strategy indicated that if shares are traded at a premium of 2.5 times their Bitcoin holdings, they will limit the issuance of common stocks except to fulfill dividend obligations to preferred shareholders.
During after-hours trading, the company’s shares climbed 1.5% to $408.
Bitcoin prices have surged to $118,000 over the past month, reflecting an 11% rise, following a record high of $122,838 in July. In contrast, the company’s stock dipped 0.6% during the same period after closing Thursday at $543, which is quite different from its earlier valuations.
In October, the company announced plans to raise $42 billion for Bitcoin purchases via stock and bond sales over three years, with up to $21 billion of common stock already authorized under this plan.
(Updated July 31, 2025, 4:34 PM ET): Added details regarding a $4.2 billion update.
(Updated July 31, 2025, 5:33 PM ET): Included comments from Saylor and information about common stock issuance.
