Strategyʼs massive Bitcoin treasury is in the red — deep red. As of Monday morning, the company’s stockpile was $10.7 billion underwater, according to internal calculations. The slide comes as Bitcoin hit its lowest price since October 2024, dragging the corporate hoard below its aggregate purchase price.
Billions underwater
The $10.7 billion gap means Strategy's average buy-in is well above current spot prices. The firm has been a steady buyer of Bitcoin for years, funding purchases with cash reserves and debt offerings. It also pads its cash pile through equity and convertible note sales, but that hasn't insulated it from the market's slide this week.
Worst week since 2022
The stock itself took a beating too. Strategy shares logged their biggest weekly drop since 2022, a rout that closely tracks the underlying crypto sell-off. Investors who piled in during the 2024 run-up are now sitting on losses, though the company has weathered similar drawdowns before without changing its buy-and-hold strategy.
Strategyʼs playbook
Despite the red ink, Strategy continues to buy Bitcoin and strengthen its cash reserves. The company's stated plan has always been to hold through cycles, but a $10.7 billion paper loss on a near-$30 billion position tests that conviction. The next price catalyst — or lack of one — will decide whether this is a buying opportunity or the start of a deeper unwind.
