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Strategy’s latest capital update indicated that the firm held 845,050 BTC and $6.71 billion in dollar assets as of Aug

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Kevin Helms.

The broader Digital Credit Capital Framework established policies governing preferred-stock dividends, repurchases, dollar reserves, and potential bitcoin sales.

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Based on Strategy’s model, bitcoin would need to fall 83% before STRC reaches a 1x BTC Rating. Strategy says bitcoin would need to fall 83% to reach STRC’s $13,136 threshold. STRD had the highest displayed bitcoin threshold at $17,517. BTC Rating is an illustrative metric, not an external credit rating. Strategy Inc. (Nasdaq: MSTR) used the Sept. 1 chart to address a central risk created by its capital structure: how far bitcoin could decline before the reserve’s modeled value matched the obligations counted for each security.

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