Strategy Inc., the largest corporate holder of bitcoin, reported a $3.9 billion fair value gain on its BTC holdings for Q3 2025. The result shows the company’s massive exposure to bitcoin has paid off handsomely.
The company’s bitcoin position, now over $80 billion, is the foundation of Strategy’s business. As BTC rose to above $125,000 this week, Strategy’s 640,031 BTC was worth around $80.3 billion or $31 billion in unrealized gains.
According to the company’s quarterly filing, Strategy’s average cost basis for its bitcoin is $73,983 per coin, built up over years of consistent buying. But for the first time since April, the company didn’t buy any bitcoin this week.
Executive Chairman Michael Saylor confirmed the pause and tweeted, “No new orange dots this week—just a $9 billion reminder of why we HODL.” The tweet referenced the orange dots used to mark each bitcoin purchase on Strategy’s public chart.
Q3 was one of the company’s best quarters ever. Strategy reported $3.89 billion in unrealized gains and $1.12 billion in deferred tax expense. Digital asset carrying value as of 9/30 was $73.21 billion and $7.43 billion in deferred tax liability.
In addition to the BTC revaluation, Strategy’s equity programs and debt offerings have made it one of the most financially active public companies in the U.S.
As of early October, the company became the 106th largest public company in the U.S., surpassing Coinbase with a market cap of over $101 billion.
The price of MSTR, the company’s stock, has been volatile. It went up 2-3% in premarket and went as high as $365 before retracing back down to $350. The stock is up 25% for the year and hit highs above $450 in the summer.
To fund its bitcoin buying, Strategy raised around $5.09 billion in new capital in Q3.
According to Investor’s Hangout, this included $2.47 billion from an initial public offering of preferred stock under the ticker STRC and $2.62 billion through at-market (ATM) equity sales across its affiliates. The company has $46.3 billion remaining capacity under these programs.
Preferred share obligations are $6.6 billion and convertible debt is $8.2 billion in principal with maturities between 2028 and 2032. Strategy pays around $638.7 million in annual dividends on preferred shares and $36.8 million in interest on convertible notes.
While these financings allow the company to buy more bitcoin, they also introduce risk. The company acknowledges that its large bitcoin exposure and reliance on capital markets create financial leverage, as its balance sheet moves with bitcoin.
Strategy didn’t buy any bitcoin last week, its first pause since April. The halt coincided with $140 million in dividend payments, so maybe it’s redirecting cash flows towards shareholder obligations.
This isn’t new. The firm did the same near the end of its first and second fiscal quarters this year. Its filings suggest these pauses are related to quarterly closes and capital adjustments rather than a change in long-term strategy.
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