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Strategy to suspend Bitcoin buying and wait for preferred stocks to recover

2026-07-16 12:56:05
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CEO's statement on suspending Bitcoin purchases

According to the company's CEO, Strategy has suspended new Bitcoin purchases until its preferred shares are restored. This means that the timing of a new round of holdings will depend on the recovery of the securities rather than a complete exit from the Bitcoin strategy. Rather than abandoning its Bitcoin position, the company suspended additions, which was described as a temporary move rather than a shift in financial strategy. The above information comes from the CEO's statement in a video interview.

The prerequisite for resuming purchases is the recovery of Strategy preferred shares. The company will not commit to further purchases until this condition is met. In another interview, the CEO said Strategy was comfortable with its current positions unless Bitcoin fell to the $8000 to $10000 range. This highlights that the suspension reflects financing conditions rather than financial pressures at current prices.

Why preferred stocks are critical to Strategy's Bitcoin purchase pace

Preferred stocks are one of the tools Strategy uses to raise funds, so their performance directly affects how and when companies can fund new Bitcoin purchases. When these securities weaken, the attractiveness of purchasing bitcoin by issuing additional preferred shares decreases. Making preferred stock recovery a prerequisite means that companies link acquisition timing to capital market conditions, not just the Bitcoin price itself. This move shows that the company prefers financing discipline rather than continuing to increase its holdings.

This is consistent with earlier reports that Strategy suspended Bitcoin purchases during the stock price rise, after the company's founder had refuted rumors of the suspension.

What the suspension means for Bitcoin observers

For a company that has attracted much attention due to its Bitcoin financial operations, the suspension of purchases has changed the market's short-term expectations about the pace of its holdings. Observers who had expected companies to continue buying now had a clear condition to pay attention to. The clearest signal is the recovery of Strategy preferred stock-which the CEO identifies as a key trigger for resuming purchases. Other corporate holders are still continuing to increase their holdings, such as listed company OranjeBTC, which is adding to Bitcoin, but Strategy's next move will depend entirely on the specific recovery of the preferred stock.

Due to the early termination of basic research, more details are still limited other than the conditions proposed by the CEO. Readers should view this suspension as a timing decision based on the performance of preferred stocks.

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