Strategy wants to sell BTC? After an unrealized losses of 6 billion in the first quarter, Fud is coming on strong.

Original | Odaily Daily Report (@OdailyChina)

Author｜Wenser（**@wenser 2010 ）

On April 7, Strategy, traditionally regarded as the "most steadfast BTC diamond hand," submitted an 8-K form to the U.S. SEC, mentioning: "Due to the enterprise software business not achieving positive cash flow, if the market value of Bitcoin declines significantly, the company may be forced to sell Bitcoin at a loss to fulfill obligations, increasing default risk, and may even be compelled to enter bankruptcy or liquidation proceedings. The company emphasizes that future financing capability is highly dependent on the market value of its Bitcoin assets and changes in market sentiment." The news caused an uproar in the market, with many questioning whether this move indicates that Strategy is "unable to hold on" or is forced to sell BTC to maintain company operations.

In light of the current situation, Odaily believes that this move is merely a routine risk disclosure statement typically made by listed companies. However, during this sensitive period, any slight disturbance can further dampen market sentiment, and we will analyze and clarify this incident in this article.

Strategy Status Analysis: In the first quarter of 2025, there was a floating loss of nearly 6 billion dollars.

On March 31, Strategy Chairman Michael Saylor posted that the company purchased 22,048 BTC again for approximately $1.92 billion between March 24 and March 30, with an average purchase price of $86,969/BTC, and has achieved a return of 11.0% year-to-date as of 2025. As of March 31, 2025, Strategy holds 528,185 BTC, acquired at a price of approximately $35.63 billion, with an average purchase price of $67,458/BTC.

No one expected that just a few days later, as the Trump administration initiated a tariff trade blitz, market sentiment plummeted sharply, and the value of Strategy's BTC asset holdings rapidly collapsed.

On March 31, the annual return rate of the Strategy remains above 10%.

On April 7, as a publicly traded company, Strategy submitted a current report to the U.S. SEC to ensure information transparency and timely disclosure of important changes or events to investors, namely Form 8-K.

Subsequently, according to media reports, MicroStrategy did not increase its BTC holdings from March 31 to April 6, maintaining its current position at 528,185 coins. Due to new accounting standards requiring crypto assets to be valued at market price, the company expects to record an unrealized loss of $5.91 billion from its BTC holdings in the first quarter, with a net loss of approximately $4.22 billion after tax deductions. Additionally, the company raised a total of $7.69 billion in the first quarter, of which $4.4 billion came from common stock issuance, with the remainder from preferred stock, almost all of which was used to purchase BTC at levels above the current price.

Nonetheless, the stock price of Strategy has still maintained a rise of over 65% in the past year, with the current price reported at $237.95 compared to around $144 on April 9, 2024.

Source: Google Finance

In conclusion, the strategy as the "fundamentals" of a listed company—continuously buying BTC to boost stock prices—has not changed significantly. However, the focus of market concerns fundamentally lies in the 8-K form mentioning that "we may be required to sell bitcoin to satisfy our financial obligations, and we may be required to make such sales at prices below our cost basis or that are otherwise unfavorable (Odaily: We may need to sell bitcoin to meet our financial obligations, and we may need to sell at prices below our cost basis or at other unfavorable prices)."

In fact, this is not the first time that Strategy has mentioned the term "Sell Bitcoin" in its external disclosures.

Understanding 8-K and 10-K Forms: Necessary Disclosure Documents for Public Companies

It is worth mentioning that the 8-K form submitted by Strategy to the SEC is just one of the various reports that public companies submit to regulatory authorities. In contrast, there is also the 10-K form, and the main differences between the two lie in their purposes, content, and submission timing:

Form 8-K (also known as Current Report, focusing on timeliness):

• Purpose: To promptly inform shareholders and public investors in the event of significant events or company changes.
• Content: Covers important events that may affect investor decisions, such as: signing or terminating important contracts; bankruptcy or takeover procedures; acquisition or sale of significant assets; changes in executives or board members; significant changes in financial condition.
• Submission Timing: Companies are generally required to file Form 8-K within four business days after the event occurs.

10-K Form (also known as Annual Report - Annual Report, focusing on completeness):

• Purpose: To provide a comprehensive overview of the company's financial performance and operational status for each fiscal year.
• Content: Including but not limited to, company history and organizational structure; financial statements and notes; management discussion and analysis; risk factors; corporate governance and executive compensation.
• Submission Timing: Depending on the size and classification of the company, it typically needs to be submitted within 60 to 90 days after the end of the fiscal year.

Specifically, in the 10-K form previously released by Strategy, the phrase "Sell Bitcoin" appeared 5 times, and there was also mention of potential selling purposes:

The 10-K form mentions the potential possibilities and risk disclosures of selling BTC.

The 8-K form mentions the potential possibility of selling BTC and risk disclosure.

In the disclosure of the 8-K form, the phrase "Sell Bitcoin" only appeared twice, and the expression is not significantly different from the necessary risk disclosures in the previous 10-K form.

Therefore, we can conclude that the disclosure of this 8-K form still falls within the necessary procedures for Strategy as a publicly listed company, with the main purpose:

To ensure information transparency and help investors make timely investment decisions;

Second, regulatory compliance is essential to avoid legal issues or regulatory penalties arising from insufficient information disclosure.

Other Fud: Strategy for BTC Diversification, Suspected Sell?

In addition to the information about "potentially selling BTC" mentioned in the 8-K form, some people in the market have observed that on-chain data tracking platform Arkham shows that Strategy conducted a split position operation 4 days ago, and many have interpreted it as a "possible precursor to Strategy dumping BTC."

On-chain data information

In fact, this is not the first time that Strategy has conducted a split position operation. On March 30, Strategy transferred 7,383.25 BTC worth $612.92 million to three new addresses. Similarly, Strategy also provided necessary position risk warnings in the 8-K form, and split position operations are quite normal for cryptocurrency holding addresses.

8-K Form Risk Warning

In summary, this "Strategy may sell BTC" is merely a panic interpretation during the market decline.

For current investors, what they should pay more attention to is whether there are other significant movements in the Strategy on-chain address or any subsequent official statements from Michael Saylor.

Additionally attached Strategy on-chain 322,000 BTC holding addresses:

Michael Saylor's X platform account: