Company Strategy (formerly MicroStrategy) has announced an update to the Digital Credit Capital Framework — a capital management concept the company first introduced back in June 2026. At that time, the framework established rules for the use of reserves, share issuance, and, if necessary, the sale of part of its bitcoin to service dividends on STRC preferred shares and debt obligations. Now, according to the company's press release and a Form 8-K report filed with the Securities and Exchange Commission (SEC) on the same day, a new pool of dollar liquidity, USD Cash, has been added within this framework.
Share Sale and Proceeds Allocation
From August 17 to 23, 2026, Strategy sold 18,261,118 MSTR shares under an at-the-market (ATM) offering. The net proceeds from the placement amounted to $2,006.5 million, as stated in the filed document. The company allocated the received funds as follows:
- $136.4 million was directed to repurchase 1,431,212 STRC preferred shares (Variable Rate Series A Perpetual Stretch Preferred Stock) under the Digital Credit Securities Repurchase Program;
- $300 million was added to the existing USD Reserve;
- the remaining proceeds formed the new USD Cash pool.
As of August 23, 2026, factoring in expected proceeds from unsettled ATM sales, the balance of the USD Reserve stood at $5.10 billion, and USD Cash at $1.59 billion.
Purpose of USD Reserve and USD Cash
The USD Reserve remains intended exclusively for the payment of dividends on preferred shares and interest on debt obligations. The new USD Cash pool is described as a separately designated reserve of dollar liquidity for the company's general purposes. Funds from it may be used for bitcoin purchases, payment of declared dividends and interest, repurchase of MSTR shares or preferred securities, redemption of convertible notes, as well as for increasing the USD Reserve.
Bitcoin Reserve Intact
During the period from August 17 to 23, 2026, Strategy did not engage in any bitcoin purchases or sales — the reserve volume remained at 840,447 BTC. The total acquisition cost is $63.36 billion, with an average purchase price of $75,385 per bitcoin, including fees and expenses.
Remaining Repurchase Limits
Following the STRC repurchase, the remaining available amount under the preferred securities repurchase program is $516.6 million, and under the MSTR share repurchase program — $1.0 billion. Both limits were established earlier, on June 29, 2026.
The company's official account on social network X published a post with the same data and a link to the press release. A similar post was shared by the company's founder and executive chairman, Michael Saylor.
The update to the Digital Credit Capital Framework formalizes a structure of two separate reserves — USD Reserve for servicing obligations on preferred shares and debt, and USD Cash for a broader range of corporate tasks. Meanwhile, the company's primary asset, bitcoin, remained unchanged in quantity during the reporting period, and the average acquisition price held steady at $75,385 per coin.
AI Opinion
From the perspective of machine data analysis, Strategy's decision to split its reserves into USD Reserve and USD Cash should be viewed not in isolation, but in the context of how the market currently values the company itself. The mNAV multiplier — the ratio of share price to the value of the bitcoin reserve — in August 2026 is hovering around the 1.0x mark, significantly lower than the peak values of past cycles, when investors paid a premium for MSTR shares multiples above the value of the coins themselves, as shown in the company's investment presentation.
The formation of a separate liquidity pool can be interpreted as an attempt to strengthen market confidence in the capital structure precisely at a time when the premium to the reserve is close to zero — a situation different from 2024, when shares traded with a threefold premium. Whether such a reserve architecture will remain sustainable with further premium compression, or whether the company will require new financing tools — is a question worth keeping in view.
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