Strategy Burns 64% of $2B STRC Buyback Fund Tied to Bitcoin (BTC)

Sixfold Buying Pace in Week Ten

Strategy, the Bitcoin (BTC) treasury company formerly known as MicroStrategy, has used up 64% of its $2 billion STRC repurchase program, leaving less than $724 million of authorized capacity as of Monday's filing with the SEC. The document shows Strategy bought 1,534,530 STRC shares for $151.7 million between Sept 21 and Sept 27, at an average price of $98.86 per share. That weekly outlay runs at roughly six times the pace of the program's opening week, when the company picked up 288,930 shares at an average of $86.52 after starting the effort on July 20.

The ceiling itself has moved. The board authorized an initial $1 billion repurchase fund on June 29, 2026, and Strategy doubled the limit to $2 billion on Sept 8, disclosing at the same time 1.76 million shares bought for $176.3 million. No additional use of the remaining capacity has been reported since the Sept 28 filing. Every dollar of the spending defends a stated amount of $100 per share, the anchor the program exists to hold. The cash flow behind STRC's payout tracks the Bitcoin (BTC) price cycle rather than a rate benchmark, so the program's cost is a direct function of how long the preferred trades below target. At September's pace of roughly $150 million a week, the remaining $724 million covers fewer than five weeks of buying, after which the board must either top the fund up again or let the support taper.

Funded by Common-Share Dilution

The dollars for the STRC rescue come almost entirely from common shareholders. In the same Sept 21-27 window, Strategy sold Class A common stock for $246.2 million, directing $142.7 million of the proceeds into fresh Bitcoin (BTC) purchases and $103.5 million into additional STRC buybacks, while also drawing on $48.1 million of cash on hand. Dilution of MSTR common stock, which sits junior to STRC in the capital structure, has funded nearly all of the capital deployed so far. Across the program to date, Strategy has repurchased 13.3 million STRC shares, roughly one in eight of the preferred outstanding, per the company's June 30 filing.

The Digital Credit Securities Repurchase Program technically covers three other Strategy preferred lines, STRF, STRD and STRK, but the fund has never bought anything except STRC, the only issue for which the company has stated a $100 price target. Michael Saylor introduced STRC in July 2025 as a perpetual preferred paying a variable monthly dividend, pitched as yield derived from Bitcoin without Bitcoin-style volatility, and its marketing has likened the security to a high-yield bank account or money-market product, a comparison its own terms reject: STRC carries no FDIC insurance and its market price is not guaranteed. When Bitcoin (BTC) stalled, the board lifted the dividend to a 12% annualized rate and authorized the first $1 billion of buybacks on June 29, 2026. The market has followed the corporate bid upward: after more than a month in the $70s and $80s and a print below $72 as recently as June, STRC opened on Thursday, Oct 1 at $99.18, its strongest level of the rescue era. Saylor's broader thesis, a hodl-first accumulation model, assumes BTC appreciates roughly 30% a year, a pace it has not matched over the past five years.

$724M of Capacity Left

The SEC filing is the load-bearing document, and it states plainly what the marketing does not: a $2 billion pool built to hold one preferred stock at $100 has run down to under $724 million in ten weeks, while the average price paid climbed from $86.52 to $98.86 as the fund chased the final 1% of its target. Our reading is that the buyback now operates less as an open-market repurchase than as a price-support desk, and that its economics depend on common-share dilution continuing to convert into STRC demand. The next filing, or a third authorization increase, will show whether Strategy intends to finish the job at $100.