MMMStrategy Stops Bitcoin Buys, Boosts Dollar Reserves
Strategy, previously known for its aggressive bitcoin accumulation policy, has halted purchases amid market volatility. For seven weeks, the organization acquired no coins and began systematic asset sales starting in May.
CEO Phong Li explained the strategic shift as necessary to build dollar liquidity. This decision is driven not by the asset price but by a desire to strengthen the company's financial position during the current bear cycle.
Over the period, the company bought roughly 175,000 BTC and sold approximately 7,000, maintaining its status as a net buyer. The dollar reserve grew from $800 million to $4.75 billion, while the remaining bitcoin holdings on the balance sheet are valued at $55 billion.
Market conditions remain challenging: Bitcoin’s price dropped from October highs of $126,000 to around $64,000. Strategy shares fell from over $400 to under $100 per share.
Phong Li predicts current downturns will last about eight months, comparing them to the 2022 cycle. He believes the market bottom is near and promises to return to bitcoin purchases before year-end.
The sale of reserves is described by management as routine capital management, contrasting with Michael Saylor’s previous stance against holding assets. A key lesson from 2026 was understanding the importance of maintaining standard cash liquidity.
