Strategy disclosed that it had raised $2.01 billion net through the sale of MSTR equities and had established a new United States dollar pool called “USD Cash”. The document indicated that the funds would be used as a stand-alone United States dollar liquidity reserve for the purpose of the Bitcoin Treasury-related arrangements and could also cover such purposes as dividends, interest, buy-backs and debt repayments.
New pool of $1.59 billion
According to the company, as of 23 August, the size of the USD Cash was US$ 5.59 billion. This account is managed separately from the old USD Reserve.
The current USD Reserve size is $5.1 billion, which is mainly used to cover priority dividends and debt interest. In contrast, USD Cash does not have such a restricted use, and management can allocate funds more quickly in the event of market fluctuations, including taking action in the case of abnormal fluctuations in the Bitcoin market or Strategy ' s own securities.
This week, the scale of financing has been significantly scaled up.
According to the bulletin, Strategy raised $2.01 billion this time through the sale of MSTR equities, about six times the scale of similar financing in the previous week. The previous week, the company had raised $334 million in the same way.
At the same time, the company disclosed that, in addition to the new USD Cash, it had raised USD Reserve to $5.1 billion and repurchased $136 million STRC.
Bitcoin holds the same.
As at 23 August, Strategy held 840,447 bitcoins at a total purchase cost of $63.36 billion, with an average purchase price of approximately $75,385 per item. The company has not purchased bitcoin since June and has not sold it for two consecutive weeks.
Since May, Strategy has cumulatively sold 6,948 bitcoins, cashing approximately $432.5 billion. By company disclosure, its current hold is approximately 4 per cent of the total supply of bitcoin, with net leverage close to zero.
Bitcoin bounced back and the books went straight.
As bitcoin recovered to about $78,400, the market value of Strategy ' s warehouse rose to about $65.9 billion, about $2.6 billion above cost.
A week ago, at a price of about $63,553, the company held a warehouse at about $9.9 billion lower than the cost; in July, when the Bitcoin approached $58,000, the loss had increased to about $13 billion.