Strategy acquired 1,665 Bitcoin for $142.7 million last week, bringing its total holdings to 847,666 BTC, according to a Sept. 28 Form 8-K filing with the US Securities and Exchange Commission.

The Michael Saylor-led company purchased the coins at an average price of $85,681 per Bitcoin between Monday and Sunday. Including fees and expenses, Strategy has now spent $63.95 billion on its Bitcoin treasury at an average cost of $75,437 per coin.

The purchase resumes an accumulation cadence that had briefly stalled. Strategy bought 950 BTC for $75.7 million the previous week after pausing purchases for two weeks.

How did Strategy fund the purchase?

The company relied on equity issuance rather than debt. Strategy sold 1.47 million MSTR common shares, generating $246.2 million in net proceeds. It allocated $142.7 million of that to Bitcoin purchases and directed the remaining $103.5 million toward repurchases of its STRC preferred stock.

The preferred stock program absorbed more capital than the equity proceeds alone could cover. In total, Strategy repurchased 1.53 million STRC shares for $151.7 million, drawing an additional $48.1 million from its US dollar cash holdings to close the gap.

The buyback pattern shows the company managing both sides of its capital structure simultaneously: issuing common equity to accumulate Bitcoin while retiring preferred shares, which carry dividend obligations.

What happened to Strategy's cash reserves?

Two separate dollar pools declined over the week. Strategy's "USD Cash" balance fell to $1 billion from $1.05 billion after the company deployed $48.1 million for the STRC repurchases.

Its dedicated US dollar reserve, maintained specifically to cover preferred stock dividends and debt interest, declined to $5.02 billion from $5.04 billion following $22.1 million in dividend payments.

The twin buffers remain a central operational constraint. The reserve exists to ensure the company can service its preferred dividend commitments and interest obligations without being forced to sell Bitcoin, and its weekly trajectory offers a running gauge of how much those obligations cost relative to new capital inflows.

What does the split allocation signal?

The week's filing illustrates a more selective capital-allocation stance than Strategy's earlier pattern of directing essentially all ATM proceeds into Bitcoin. With $103.5 million — roughly 42% of net share-sale proceeds — going to STRC repurchases, the company is effectively prioritizing reduction of its fixed-income-like obligations alongside accumulation of its core asset.

Retiring preferred stock at a discount to issuance value can lower future dividend outflows, easing pressure on the dollar reserve that backs those payments. That trade-off between stacking Bitcoin and shrinking preferred liabilities is likely to define the next several quarters of the company's treasury operations, particularly as Strategy has separately sought shareholder approval for daily preferred stock dividends — a proposal that, if approved, would alter the cadence and cash-flow profile of its dividend obligations.