Strategy sells 1,690 BTC as CEO claims Bitcoin central bank role

Strategy sold 1,690 BTC in its first major disposal since 2020, as CEO Phong Le called the firm "Bitcoin's central bank."

"We now are the bellwether. We now are the central bank of Bitcoin," Le said in an interview on CoinDesk's Public Keys podcast, adding that Strategy's decisions now carry consequences for the wider market.

The sale, confirmed by the company, breaks a pattern of uninterrupted accumulation that began in 2020 under executive chairman Michael Saylor. Strategy still holds roughly 840,000 BTC, about 4 percent of Bitcoin's eventual 21 million supply, and has built a $4.75 billion cash cushion providing roughly 2.7 years of dividend coverage for preferred-stock products such as STRC.

The disposal and cash buildup reflect pressure from preferred-stock investors who value liquidity over pure Bitcoin exposure, Le said. He described Strategy's evolution from a leveraged Bitcoin proxy into a digital credit platform — "We wanna be the JP Morgan of digital finance" — while confirming the firm will "get back to buying more" Bitcoin.

Cash Cushion Grows to $4.75 Billion as Preferred Investors Demand Liquidity

Le said he initially assumed investors would value Bitcoin highly because it is liquid and has appreciated significantly over time. But institutions and investors putting shorter-term money into Strategy's products "value cash more," he said.

The cash cushion is part of Strategy's push to evolve beyond simply buying and holding Bitcoin into a broader digital credit business. Strategy has developed preferred-stock products such as STRC for investors seeking Bitcoin-linked returns with less volatility. Le described a spectrum ranging from investors seeking amplified Bitcoin returns to those looking for lower-volatility yields closer to traditional credit or money-market products.

"Would I rather hold Bitcoin? Perhaps," Le said. But making Strategy's preferred products work ultimately supports MSTR and its Bitcoin strategy, he argued.

From Bitcoin Proxy to Digital Credit Platform

Le is pitching Strategy as a financial platform built around Bitcoin rather than merely a leveraged Bitcoin proxy. He compared Strategy's ambitions to Apple's iPhone, envisioning a network where other companies build financial products on top of Strategy's offerings. Le said DeFi could expand that network by creating additional risk and return profiles from Strategy's products, ultimately channeling more capital into Bitcoin.

Strategy's legacy software operation remains part of the plan even as Bitcoin accounts for the overwhelming majority of the company's market value. Le said software revenue grew 7 percent year over year, while cloud subscriptions increased 54 percent. Strategy's roughly 1,500 employees give its Bitcoin operation access to experienced lawyers, finance professionals, AI engineers, developers and marketers, he said.

Bitcoin traded at $63,950 as of 14:30 UTC, down 1.49 percent over 24 hours, with 24-hour spot volume at $22.52 billion and total market capitalization at $2.26 trillion. The sale of 1,690 BTC is small relative to Strategy's total holdings, but the company's actions remain closely watched given its outsized position in the market.

This article is for informational purposes only and does not constitute investment advice.