Michael Saylor: After Three Consecutive Quarters of Losses, Strategy Will Sell Bitcoin to Pay Dividends

By Jai Hamid

Translated by AididiaoJP, Foresight News

Summary

• Saylor stated that Strategy might sell some of its Bitcoin if doing so benefits the company.
• Strategy reported a net loss of $12.54 billion while holding 818,334 BTC.
• The company faces approximately $1.5 billion in dividend and debt-related obligations.

Michael Saylor has now placed Strategy’s Bitcoin reserves in the same category as other corporate assets: useful, valuable, and saleable when the company needs cash.

This is the real story behind Strategy’s (MSTR) third consecutive earnings miss—Saylor himself confirmed that the company could sell Bitcoin if it benefits the business.

This comment appeared during Strategy’s Q1 earnings call on May 5. Saylor said he would not rule out selling Bitcoin if it serves Strategy’s interests. He also indicated the company might use part of its holdings to pay dividends—and would notify the market in advance before doing so.

His exact words were:

“We may sell some Bitcoin to pay dividends, just to get the market accustomed and communicate this message. Real estate development companies exist to buy land low and sell high. We’re like a Bitcoin development company.”

Saylor Tells Investors: Strategy Can Sell Bitcoin to Cover Dividend Obligations

Strategy (MSTR) still holds one of the largest corporate Bitcoin positions globally. The company disclosed holding 818,334 BTC at an average cost of $75,537 per coin. This is a massive bet—but it also means every sharp decline in Bitcoin’s price severely impacts the company’s balance sheet.

The company reported a $12.54 billion net loss for Q4, alongside roughly $1.5 billion in dividend obligations. This figure includes annual preferred-stock dividends and interest on debt already recorded on the balance sheet.

Based on its U.S. dollar reserves, Strategy maintains approximately 18 months of payment coverage. That’s why Saylor’s comments are so significant: he did not characterize potential Bitcoin sales as panic-driven fire sales, but rather as part of the company’s highly leveraged strategy.

He summarized the plan as follows: “You buy Bitcoin with credit, let it appreciate, then sell Bitcoin to pay dividends.”

Markets reacted sharply to this statement. Strategy (MSTR) fell over 4% after hours. Bitcoin also dropped below $81,000—having traded above that level just hours earlier. For crypto traders, this was the immediate takeaway: a company built around holding BTC had just told the market that selling is permitted.

Strategy’s 2022 Sale and the 2026 Accounting Impact Add Pressure to Saylor’s Comments

The company has previously executed one actual Bitcoin sale. On December 22, 2022, then-MicroStrategy sold 704 BTC for approximately $11.8 million—the first time the company had ever sold any Bitcoin.

That sale occurred after a difficult year for markets. During MicroStrategy’s Q1 2022 earnings call on May 3, CFO Phong Le stated the company could face margin calls if Bitcoin fell near $21,000. In such a scenario, the company would need to either sell Bitcoin or post additional collateral.

When Bitcoin later dropped to roughly $20,800 in June 2022, MicroStrategy confirmed it had not received any margin call notices and stated it held sufficient capital to withstand further price volatility.

Pressure resurfaced again at the end of November 2025. According to Forbes, Strategy’s (MSTR) stock price had fallen 60% year-over-year, with its market cap dropping to $49 billion—while its Bitcoin holdings were valued at approximately $56 billion. After Strategy CEO Phong Le discussed potential Bitcoin sales, market observers linked those remarks to Bitcoin’s drop below $86,000 in early December 2025.

Today, Phong stated:

“We are considering future Bitcoin sales—whether converting them into dollars or selling Bitcoin to purchase debt when the per-share Bitcoin value is favorable. We will sell Bitcoin when it benefits the company. We won’t sit idly by and say, ‘We’ll never sell Bitcoin.’ We aim to be net Bitcoin accumulators—increasing our total Bitcoin holdings, but more importantly increasing our Bitcoin-per-share metric, as we believe that delivers the greatest long-term value for MSTR.”

Strategy recorded a $2.2 billion valuation allowance, as deferred tax assets related to first-quarter unrealized Bitcoin losses are expected to be unrealizable. Although the company purchased 89,599 BTC during the quarter, its digital assets declined by $7.2 billion due to a 23% drop in Bitcoin’s price. The report also noted that STRC issuance contributed $2.1 billion in growth during the quarter.