Strategy, the business intelligence firm turned Bitcoin giant, has raised $2 billion through a preferred stock sale to purchase additional Bitcoin, expanding from an initial $500 million target due to overwhelming investor demand. The business intelligence company priced its Series A Perpetual Stretch preferred shares at $90 each on Thursday, reinforcing its position as the world’s largest corporate Bitcoin holder.
This stock sale was first planned to raise $500 million, but the company increased it due to strong interest from investors. A source familiar with the matter told Bloomberg that the $90 pricing is the lowest in the expected $90–$95 range and represents a discount from the $100 face value. The deal includes 5 million preferred shares and is underwritten by Morgan Stanley, Barclays, TD Securities, and Moelis & Co.
Deal Structure
The new Stretch shares offer cumulative dividends that MicroStrategy can adjust monthly based on the one-month SOFR rate plus 0.25% or internal mechanisms.
This flexible capital structure allows for Bitcoin acquisitions without common stock dilution, permitting MicroStrategy to continue its aggressive cryptocurrency accumulation strategy while tapping institutional capital markets.
MicroStrategy’s common stock ‘MSTR,” stayed mostly flat and closed at $412.31 on Thursday, giving the company a market capitalization of $115 billion. According to Google Finance, MSTR has surged more than 42% in 2025 and over 146% in the last year. That performance has outpaced the S&P 500 and tech sector, which each gained about 17%, according to Fidelity Research.
The company said it plans to use the money raised to buy more Bitcoin. As of now, the company owns 607,770 BTC worth around $72.4 billion, according to its website. A source told Bloomberg that Strategy’s new preferred shares will rank above its Strike and Stride shares but below its Strife preferreds and past convertible bonds.
Unlike the company’s other preferred stock, the new Stretch shares will pay cumulative dividends. The dividend rate isn’t fixed. Strategy can raise it any month and lower it by the smaller of either the drop in the one-month SOFR rate plus 0.25%, or any other internal calculation.
Growing Institutional Bitcoin Treasury Trend
Strategy owns around 3% of all Bitcoin in circulation. Other firms are following suit. For instance, Japanese tech company Quantum Solutions recently announced plans to buy 3,000 BTC. Meanwhile, miners like MARA Holdings, Riot Platforms, CleanSpark, and Hut 8 are expanding their reserves too.
The 4x expansion from the original $500 million target demonstrates strong institutional appetite for Bitcoin exposure through public equity markets. This demand pattern suggests growing acceptance of cryptocurrency treasury strategies among traditional investors seeking digital asset exposure without direct Bitcoin ownership.
The preferred stock structure allows MicroStrategy to continue its Bitcoin accumulation strategy while providing institutional investors with dividend income and preferred liquidation rights, bridging traditional finance preferences with cryptocurrency exposure.
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