Strategy, the largest corporate holder of Bitcoin, now trades below the value of the Bitcoin it owns. Its basic mNAV was 0.85x on Sept 21, meaning the market prices the company about 15% under its BTC per share. In November 2024 that multiple was around 3.4x.
Why it matters: the whole treasury-company model runs on a premium. Sell stock above the value of your BTC, buy more $BTC , repeat. Below 1x, that flywheel runs backwards.
Strategy holds 840,447 BTC (about 4% of supply) and a $5.02B USD reserve. The reserve exists for a reason: roughly $15B of preferred stock, with about $1.7B a year in preferred dividends and debt interest. At that pace the reserve covers a bit under three years (my math).
The fair counterpoint: on an enterprise-value basis, which counts debt and preferred, mNAV is still about 1.11x. The picture depends on which measure you use, and nothing forces the company to sell Bitcoin today.
Still, the company that built the corporate-treasury playbook no longer has cheap equity to fund it. With spot ETFs taking in $2.39B last week, the marginal buyer looks more like an ETF than a treasury company (my read).
Does the biggest Bitcoin treasury still move the price, or is the treasury trade over?
#Strategy #Bitcoin
Why it matters: the whole treasury-company model runs on a premium. Sell stock above the value of your BTC, buy more $BTC , repeat. Below 1x, that flywheel runs backwards.
Strategy holds 840,447 BTC (about 4% of supply) and a $5.02B USD reserve. The reserve exists for a reason: roughly $15B of preferred stock, with about $1.7B a year in preferred dividends and debt interest. At that pace the reserve covers a bit under three years (my math).
The fair counterpoint: on an enterprise-value basis, which counts debt and preferred, mNAV is still about 1.11x. The picture depends on which measure you use, and nothing forces the company to sell Bitcoin today.
Still, the company that built the corporate-treasury playbook no longer has cheap equity to fund it. With spot ETFs taking in $2.39B last week, the marginal buyer looks more like an ETF than a treasury company (my read).
Does the biggest Bitcoin treasury still move the price, or is the treasury trade over?
#Strategy #Bitcoin
