Strategy Raises Preferred Securities Buyback Program to $3 Billion
Key Facts
Strategy announced on October 19, 2026, that it had raised the limit on its digital credit securities buyback program to $3 billion as it continued buying bitcoin. The company said in its statement that it repurchased about $193 million of its STRC preferred stock during the week covered by the update. The announcement combined an expanded buyback authorization with increased bitcoin holdings as part of the company's shift toward active capital management. Strategy had raised the program's limit to $2.0 billion in September, when it announced repurchases of $176 million of the same class. In its October 12 update, before the latest increase in the limit, the remaining authorization for preferred securities purchases stood at $354.8 million.
The company's bitcoin ledger showed purchases of 267 bitcoin at an average price of $82,900 per coin, according to the October 19 update. Total holdings rose to 848,517 bitcoin following these purchases. The amount purchased exceeded the previous update's addition of 250 bitcoin. The average purchase price, meanwhile, fell from $86,194 per coin in the October 12 update. Total holdings at that point stood at 848,250 bitcoin, before the addition announced in the company's latest update.
Most of the new purchases were funded through common stock sales, according to Decrypt. Strategy raised $22 million by selling 140,872 MSTR common shares through its at-the-market offering program during the week ended October 18. It supplemented the funding for its bitcoin purchase with $0.1 million in cash, according to the same source. Across the entire portfolio, the company's ledger shows a cumulative cost of $64,017 million for its bitcoin holdings. The average acquisition cost of those holdings was $75,446 per coin, below the average price the company paid in its latest weekly purchases.
The week's uses of liquidity also included preferred stock dividends, alongside the cash contribution to bitcoin purchases. The company used $45.5 million from its dollar reserve to pay those dividends, according to Decrypt. In the previous weekly update, the dollar reserve stood at $4.88 billion, according to Strategy's statement. General cash stood at $640.5 million in that update, reflecting the company's distinction between the two balances. Strategy's policy states that using the dollar reserve to fund STRC repurchases is not authorized.
The repurchases fall under a capital management framework Strategy announced in June that authorized bitcoin sales to fund them. Chief Executive Phong Le said when the framework was announced that the company was "moving from one-way securities issuance to active capital management." The authorization covered funding repurchases of digital credit securities or Class A common stock. In the July buyback policy statement, Le linked purchasing preferred stock at a discount to the potential to reduce associated obligations. He said such transactions could "reduce future preferred dividend requirements at a discount."
Alongside the preferred securities program, $1 billion remained available under a separate MSTR common stock buyback program, according to Decrypt. The buyback authorization has no fixed expiration date, according to the company's framework announced in June. The framework allows the authorization to be amended, suspended or terminated at any time. The STRC dividend rate is reviewed monthly, and the company's policy emphasizes that these dividends are not guaranteed. Strategy is scheduled to report its financial results after U.S. markets close on Thursday, October 29, 2026, according to its earnings announcement notice.