Key Insights:
- Strategy (MSTR) stock jumped 12% after the company announced a new capital framework and expanded shareholder support measures.
- Strategy approved a $1.25 billion Bitcoin sale program while keeping its long-term commitment to holding the cryptocurrency.
- Investors focused on stronger liquidity, larger cash reserves, and new buyback plans despite the policy shift.
Strategy (MSTR) stock gained more than 12% after the company introduced a plan that allows limited Bitcoin sales while adding new cash reserves and buyback programs. The move pleased investors even though it marked a change from the company’s long-standing position on holding all of its Bitcoin.
Strategy (MSTR) Stock Climbs After New Capital Plan
Strategy stock rose 12.6% to $92.68 after investors reacted to a series of financial updates from the company. The MSTR stock opened at $85.67, climbed to an intraday high of $94.37, and traded as low as $82.72 before ending the session with a strong gain.
The company also unveiled new plans covering its cash reserve, preferred shares, share buybacks, and Bitcoin holdings. Michael Saylor said the new Digital Credit Capital Framework is meant to improve the company’s financial position while keeping its long-term focus on Bitcoin.
The plan includes several steps instead of relying on only one source of funding. One of those steps is a larger cash reserve. Strategy said it has increased its U.S. dollar reserve to $2.55 billion.
According to the company, that amount can cover about 17.4 months of dividend payments. It also said the reserve will be used only for dividends and interest expenses and will always remain above 12 months of coverage.
The firm also approved share repurchase programs worth up to $1 billion for MSTR stock and another $1 billion for its Digital Credit securities. Strategy said these buybacks will be used when market conditions make them attractive. It added that the money for those purchases will not come from the cash reserve.
Bitcoin Sale Plan Draws The Most Attention
It is worth noting that the biggest part of the announcement was a new Bitcoin Monetization Program. The program allows Strategy to sell up to $1.25 billion worth of Bitcoin if needed.
The money can be used to increase the cash reserve, pay dividends and interest expenses, or support the approved buyback programs.
The amount is only a small part of the company’s 847,363 Bitcoin holdings. Even so, the decision caught the attention of many investors because Strategy has spent years saying it would not sell its Bitcoin.
Market commentator Shanaka Anslem Perera said the issue is not how much Bitcoin the company may sell today. He believes the bigger change is that Strategy has now given itself written permission to sell some of its holdings if necessary.
The company, however, repeated that it still plans to keep long-term exposure to Bitcoin. It described the sale program as another financial option rather than a change in its overall direction.
Strategy Adds More Financial Options
Strategy also announced a higher dividend for Strategy stock STRC preferred shares. The rate has been increased to 12%, starting with the July 2026 record date. The company said it will review the rate every month and wants the preferred shares to trade between $99 and $100.
Michael Saylor also said the company now has $3.8 billion available for dividend coverage when the cash reserve and Bitcoin sale capacity are combined. He said that is enough to cover about 25.9 months.
The announcement also shows that Strategy (MSTR) now sees its Bitcoin holdings as another source of funding if needed. While the company still says Bitcoin remains a long-term asset, it now has the ability to sell part of those holdings under the new plan.
Strategy also said it will remain careful when issuing new MSTR stock, especially when the stock trades close to its net asset value. For now, investors appear to be looking at the bigger picture. The company still holds one of the largest Bitcoin reserves among public companies.
At the same time, it has added more ways to manage its finances if market conditions become more difficult in the future.
 stock surged 12% as investors welcomed a new capital plan, despite the company's approval for limited Bitcoin sales.){kind=link}