Strategy Inc 8-K

What Happened

• On January 5, 2026 Strategy Inc. (MSTR) filed an 8-K disclosing recent at-the-market (ATM) stock sales, bitcoin purchases funded with ATM proceeds, a Q4/2025 digital-asset financial update, and the company’s USD reserve. Strategy also notes its public "Strategy Dashboard" (www.strategy.com) as a Regulation FD disclosure channel.
• ATM activity: Dec 29–31, 2025 sold 1,255,911 MSTR shares for net proceeds of $195.9 million; Jan 1–4, 2026 sold 735,000 MSTR shares for net proceeds of $116.3 million (total net proceeds $312.2 million).
• Bitcoin purchases: Dec 29–31, 2025 acquired 3 BTC (≈$0.3M, avg ~$88,210); Jan 1–4, 2026 acquired 1,283 BTC (≈$116.0M, avg ~$90,391). Aggregate holdings as of Jan 4, 2026 were reported at 673,783 BTC (aggregate purchase price ~$50.55 billion; average purchase price ~$75,026).

Key Details

• ATM sales: total 1,990,911 MSTR shares sold across Dec 29, 2025–Jan 4, 2026, net proceeds $312.2M; available for issuance under the ATM ~ $11.39 billion as of Jan 4, 2026.
• Bitcoin holdings: added 1,286 BTC in combined periods; aggregate BTC holdings 673,783 as of Jan 4, 2026; aggregate purchase cost ~$50.55B, avg cost ~$75,026/ BTC.
• Q4/2025 financial update: For year ended Dec 31, 2025 Strategy reported a $5.40B unrealized loss on digital assets (with $1.55B associated deferred tax benefit); for the three months ended Dec 31, 2025 reported a $17.44B unrealized loss (with $5.01B deferred tax benefit). As of Dec 31, 2025 digital-asset carrying value was $58.85B with a related deferred tax liability of $2.42B. These figures were prepared by management and not audited or reviewed by KPMG LLP.
• USD Reserve: balance $2.25B as of Jan 4, 2026, maintained to support preferred dividends and interest; reserve level and terms are at the company’s discretion.

Why It Matters

• The filing shows Strategy is actively using its ATM program to raise cash and buy bitcoin; recent ATM proceeds funded material BTC purchases and increased reported aggregate holdings.
• Large unrealized losses and associated deferred tax items reported for Q4 2025 can materially affect reported earnings and equity, though are non-cash and tied to digital-asset valuation changes.
• The $2.25B USD Reserve signals cash set aside for dividend and interest obligations, which may be relevant to preferred holders and creditors; investors should note management prepared the financial update and it was not audited.

Keywords: ATM, bitcoin, BTC holdings, unrealized loss, Q4 2025, digital assets, USD reserve, Regulation FD.