Michael Saylor, Executive Chairman of Strategy (MSTR), has indicated that the company may resort to selling some of its bitcoin holdings to fulfill its dividend obligations. This announcement follows a staggering net loss of $12.54 billion reported for the first quarter of 2026.
During the earnings call, Saylor revealed that the firm, which is recognized as the largest publicly traded corporate holder of bitcoin, is considering this strategy to reassure the market. He stated, “We will probably sell some bitcoin to pay a dividend just to inoculate the market and send the message that we did it.”
Strategy currently holds a total of 818,334 BTC, acquired at an average cost of $75,537 per coin. The company faces an outstanding dividend obligation of approximately $1.5 billion, which includes preferred stock dividends and interest on its existing debt. According to Saylor, the company has about 18 months of coverage for these obligations based on its USD reserves.
Saylor explained the rationale behind this approach, describing a model where the company leverages credit to acquire bitcoin, allowing it to appreciate over time. He elaborated, “You buy bitcoin with credit, you let it appreciate, and then you sell bitcoin to pay the dividend.”
Following the announcement, Strategy’s stock experienced a decline of more than 4% in after-hours trading, while the price of bitcoin fell below $81,000.
In related news, Joseph Lubin, CEO of Consensys and co-founder of Ethereum, spoke at Consensus Miami 2026 about the future of tokenization, asserting that it is now an inevitable aspect of the global economy rather than a mere experiment.
- Lubin emphasized that Ethereum’s foundational design allows anyone to issue tokens without needing to create a new blockchain.
- He believes this capability positions Ethereum as a leader in the tokenization movement.
Michael Saylor has proposed selling bitcoin to cover dividend obligations following a significant quarterly loss. This strategy aims to reassure investors while navigating the company's financial challenges.