Strategy pauses BTC buys for $1.5B bond repurchase

- Company halts weekly Bitcoin purchases to repurchase $1.5 billion in convertible bonds - Funding opacity raises concern over BTC reserves, share and token strategy On May 25, 2026, Strategy (formerly MicroStrategy) halted its regular Bitcoin (BTC) accumulation program to repurchase $1.5 billion in 2029 convertible bonds, according to a report by Cryptopolitan. The move followed a sizable BTC acquisition and triggered investor anxiety about the company’s reserve management, the possibility of BTC sales, and the sustainability of its high-yield payments amid continued crypto market volatility. Cryptopolitan reported that, following its latest BTC purchase, Strategy discontinued weekly buys to prioritize a $1.5 billion repurchase of its 2029 convertible debt. According to Cryptopolitan on May 25, 2026, Executive Chairman Michael Saylor confirmed the shift in a public statement. However, the abrupt change in tactics surprised market participants, and the company did not clarify how it funded the buyback. As a result, speculation grew that it may have tapped existing BTC reserves or cash balances, as it disclosed no new STRC (Strategy’s tokenized equity) sales or fresh stock issuances. Investors expressed doubts over the sudden change in capital allocation, and some speculated that the firm could have sold Bitcoin to fund the bond repurchase. This raised questions about the longevity of its “BTC vacuum” strategy championed by Saylor. In addition, concerns grew regarding demand for company shares and STRC tokens, especially given mounting dividend commitments—most notably the proposed 11.5% bi-weekly dividend on STRC—at a time of broad crypto market weakness. After the announcement, MSTR shares dropped to $159.89, underscoring diminished market confidence in Strategy’s reserve approach. Meanwhile, Bitcoin hovered near the company’s average cost basis, reflecting a cautious tone in both equity and crypto markets. As of 15:09 UTC on May 25, 2026, Bitcoin (BTC) traded at $77,670.24, down 1.68% over the previous 24 hours, according to the latest market data cited by Cryptopolitan.