Grayscale Warns Strategy May Sell More Bitcoin as Leveraged Model Strains

Grayscale Research now flags Strategy’s leveraged Bitcoin model under its first stress test after the firm sold 32 BTC for $2.5 million in late May to cover preferred dividends. The move ended a four-year “never sell” policy and exposed roughly $1.5 billion in annual dividend obligations on $15.5 billion of preferred shares that now exceed available cash. Analysts remain split: Tom Lee and Citi view the sale as immaterial, while Grayscale sees potential for further tactical sales that could add near-term supply pressure on Bitcoin, which has fallen about 16% since the disclosure. Strategy holds 843,706 BTC with STRC preferred shares trading below their $100 target.