By Mackenzie Tatananni
Strategy's executive chairman, Michael Saylor, once swore the company would never sell Bitcoin. The world's largest holder of the cryptocurrency has since reversed that stance, recently executing its first strategic sale.
On Monday, Strategy disclosed that it sold 32 Bitcoin in the period from May 26 to May 31 at an aggregate price of $2.5 million, or roughly $75,699 apiece. The price of Bitcoin has fallen 2% over the past 24 hours to $71,960, according to CoinDesk data. Strategy stock, meanwhile, slid 4.6% in premarket trading Monday.
The proceeds from the sale are expected to be used to fund distributions on preferred stock, Strategy said. The transaction is the first of its kind, seeing as Strategy last sold Bitcoin back in 2022 solely for tax purposes. It comes just weeks after CEO Phong Le asserted that the company would sell crypto "when it is advantageous to do so."
Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
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