MicroStrategy sells 32 BTC, breaks ‘never sell’ narrative
MicroStrategy sold 32 BTC, its first reported non-tax sale since 2022, and MSTR shares fell as investors reassessed the company’s buy-and-hold Bitcoin policy.
MicroStrategy disclosed it sold 32 Bitcoin this week, its first reported non-tax liquidation since 2022. Shares of MicroStrategy’s Nasdaq-listed stock, MSTR, fell after the disclosure as investors reassessed the firm’s buy-and-hold Bitcoin approach.
The sale was small relative to the company’s total holdings but prompted a rapid market reaction. Market participants had valued the stock on the assumption MicroStrategy would continue to accumulate Bitcoin without selling; the transaction altered that assumption for some investors.
Delphi Digital wrote, ‘The market learned that MicroStrategy is no longer read as a pure one-way accumulation vehicle. The old never-sell meme is now broken in practice, not just in conference call language.’ Company executives have reiterated a focus on increasing Bitcoin per share.
The disclosure renewed questions about how to value firms that hold Bitcoin as a treasury asset. Analysts noted that the size and frequency of any future sales will affect expectations about leverage, capital needs and the predictability of Bitcoin accumulation.
JPMorgan CEO Jamie Dimon argued banks would oppose the latest version of the CLARITY Act, saying the bill would allow crypto companies to offer interest-bearing products without the capital and compliance requirements applied to banks.
French Bitcoin treasury company Capital B asked shareholders to authorize up to 5 billion euros in new equity and roughly $116 billion in credit instruments to fund future Bitcoin purchases. The proposal will be voted on at a June 17 shareholder meeting. Capital B reported about $325 million in funding to date and said it bought 192 BTC for about $15.2 million last month and added 4 BTC more recently, bringing its total to 3,139 BTC.
Coinbase made an undisclosed investment in the ProShares GENIUS Money Market ETF (IQMM). The ETF holds cash, bank deposits and short-term U.S. Treasury securities intended to meet reserve requirements under the GENIUS Act. The legislation would require stablecoin issuers to hold highly liquid reserves.
Policymakers, investors and corporate treasurers are watching company disclosures and regulatory proposals for their potential effects on capital needs and demand for liquid reserves.
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