Strategy Doubled Its Preferred Buyback to $2 Billion and…

Strategy Inc. expanded its preferred stock repurchase program to $2 billion while making no Bitcoin purchases or sales during the week ending 7 September, according to a regulatory filing. The company repurchased $176.3 million of its STRC preferred shares as its Bitcoin holdings remained unchanged at 845,050 BTC.

Strategy Redirects Capital Toward Preferred Shares

The company’s latest capital allocation update shows a shift in focus from Bitcoin accumulation toward managing its preferred securities. Strategy disclosed that its board increased the authorized purchase amount under its Digital Credit Securities Repurchase Program from $1 billion to $2 billion.Between 31 August and 7 September, Strategy repurchased 1,810,885 shares of its Variable Rate Series A Perpetual Preferred Stock, known as STRC, for an aggregate purchase price of $176.3 million. The company did not repurchase MSTR common shares or its other preferred securities during the period.The filing also confirmed that Strategy did not purchase or sell Bitcoin during the same period. Its holdings stood at approximately 845,050 Bitcoin as of 7 September, acquired for an aggregate purchase price of $63.73 billion, including fees and expenses.Strategy’s decision follows a recent Bitcoin purchase period. The company previously added 4,603 Bitcoin between 24 August and 30 August for $369.7 million, before returning to a pause in the following reporting period.The latest update highlights the competing priorities facing Bitcoin treasury companies: increasing digital asset exposure while maintaining the financial structure used to fund operations and investor obligations.

Preferred Buyback Expands as Strategy Manages Cash Reserves

Strategy said it maintains two separate cash categories as part of its capital framework. The USD Reserve is designed primarily to support preferred stock dividends and interest payments, while USD Cash can be used for broader treasury management activities, including potential Bitcoin purchases. During the latest reporting period, Strategy used $176.3 million from its USD Cash balance to fund STRC repurchases. The company reported USD Reserve holdings of $5.10 billion and USD Cash of $1.44 billion as of 7 September.The move represents a different use of capital from the company’s traditional Bitcoin accumulation strategy. For years, Strategy’s equity story has centered on increasing Bitcoin holdings through capital markets activity, deciding to allocate funds toward preferred shares, a notable balance-sheet development.The preferred repurchase authorization increase also provides Strategy with additional flexibility. The company did not commit the full $2 billion immediately, but expanded the available capacity for future repurchases under the program.

mNAV Compression Puts Focus on Treasury Model

Strategy’s mNAV premium has compressed toward the lower end of its recent range as investors reassess the valuation gap between Strategy’s market value and its Bitcoin holdings. As of 10 September 2026, Strategy’s diluted mNAV stood at approximately 1.08x, representing an 8% premium to the value of its Bitcoin treasury, according to mNAV data.A separate market tracking source showed Strategy’s enterprise-value mNAV at approximately 1.16x, highlighting differences caused by calculation methods that account differently for debt, preferred securities, and cash balances.A lower mNAV premium can affect the economics of treasury companies because issuing equity at a premium has historically allowed firms to raise capital while increasing Bitcoin holdings on a per-share basis. When that premium narrows, companies may have fewer incentives to rely on equity issuance as an accumulation tool.Strategy’s preferred buyback therefore carries implications beyond a single weekly purchase decision. The company is balancing Bitcoin exposure, preferred obligations, and shareholder value management within the same capital structure.The approach also provides a reference point for other companies pursuing Bitcoin treasury strategies. As more firms adopt similar models, investors are likely to examine not only Bitcoin holdings but also how those companies manage debt, preferred securities, and liquidity.

Strategy’s Next Disclosure Will Shape Bitcoin Accumulation Expectations

Strategy’s next regulatory update will show whether the company resumes Bitcoin purchases or continues prioritizing capital management actions. The company’s latest filing does not provide a timetable for future Bitcoin acquisitions or additional preferred repurchases.For investors tracking MSTR stock, the key question is how Strategy balances its Bitcoin accumulation strategy with the financial commitments created by its expanding preferred capital structure.