$30 billion in ammunition—Strategy says it can be raised using its existing balance sheet.
On the third-quarter earnings call, the executive chairman said the existing balance sheet could support up to $30 billion in digital credit. The CEO said issuing digital credit would be the main way to buy coins going forward, and gave a hypothetical example: issuing $1 billion to $2 billion of STRC per month, keeping some as dollar reserves and using the rest to buy coins. As of October 25, the company held 848,517 coins, up 26% year to date. Third-quarter net income was $19.53 billion, including $20.91 billion in gains from the revaluation of digital assets.
I think the key takeaway is a shift in its funding approach: when assessing its future coin purchases, watch the pace of preferred stock issuance first, rather than focusing only on common stock offerings.
If it really issues $1 billion to $2 billion of STRC next month, do you think the first proceeds will go toward replenishing dollar reserves or buying coins?
Follow me. As soon as the next STRC issuance announcement comes out, I’ll calculate how many coins that money could buy at the prevailing price.
$BTC
On the third-quarter earnings call, the executive chairman said the existing balance sheet could support up to $30 billion in digital credit. The CEO said issuing digital credit would be the main way to buy coins going forward, and gave a hypothetical example: issuing $1 billion to $2 billion of STRC per month, keeping some as dollar reserves and using the rest to buy coins. As of October 25, the company held 848,517 coins, up 26% year to date. Third-quarter net income was $19.53 billion, including $20.91 billion in gains from the revaluation of digital assets.
I think the key takeaway is a shift in its funding approach: when assessing its future coin purchases, watch the pace of preferred stock issuance first, rather than focusing only on common stock offerings.
If it really issues $1 billion to $2 billion of STRC next month, do you think the first proceeds will go toward replenishing dollar reserves or buying coins?
Follow me. As soon as the next STRC issuance announcement comes out, I’ll calculate how many coins that money could buy at the prevailing price.
$BTC
