Long presented as an unwavering holder of Bitcoin, Strategy Inc. has just reached a historic milestone. Michael Saylor's company is now considering selling part of its BTC strategically, not out of necessity, but to obtain a colossal tax advantage.
In brief
- Strategy Inc. announced on May 5, 2026 that it was ready to tactically sell part of its Bitcoins.
- The company holds 818,334 BTC, or 3.9% of the total circulating supply.
- Targeted sales could generate up to $2.2 billion in tax benefits.
Strategy switches to active management of its BTC
On May 5, 2026, during its first quarter earnings conference call, Strategy Inc. (formerly MicroStrategy, Nasdaq: MSTR) dropped a discreet but meaningful bombshell.
The company, the world's largest institutional holder of Bitcoin, has officially opened the door to tactical BTC sales. A first in the history of the company, known for its “never sell” dogma.
Michael Saylor, executive chairman, was blunt: “ We will probably sell some of our Bitcoins to finance a dividend, just to boost the market. »
CEO Phong Le reinforced this message: “ We will not sit back and say we will never sell. We want to increase our total BTC, but especially our Bitcoin per share. »
From an accounting perspective, the quarter was difficult. Strategy reported a net loss of $12.54 billion, mainly due to an unrealized fair value loss of $14.46 billion on its digital assets. Bitcoin had fallen from around $87,000 to $68,000 between January and the end of March. These losses remain purely accounting, with no real impact on cash flow.
The software activity is holding up well: $124.3 million in turnover (+12% year-on-year), with a solid gross margin of 67.1%. Cash on hand stands at $2.21 billion.
2.2 billion reasons to sell… without abandoning Bitcoin
Behind this change in posture lies some formidably effective tax engineering. Strategy has built up its BTC reserves at widely varying prices, from initial low-cost purchases to recent acquisitions around $80,000 to $100,000. By selling the lots acquired at a high price, the company can crystallize significant capital losses.
The calculation is clear:
- $7.6 billion in potentially realizable latent losses.
- An applied tax rate of 29% generates approximately $2.2 billion in recoverable tax assets.
- These losses offset gains made elsewhere, reduce exposure to the corporate alternative minimum tax (CAMT), and create valuable tax shields.
Additional advantage: the IRS considers Bitcoin to be property, not a financial security. The anti-abuse rules on sales at a loss (wash sale rules) therefore do not apply. Strategy can sell…and then buy back immediately if she wishes.
These funds would also be used for buybacks of MSTR shares when they trade below 1.22 times net asset value, a transaction modeled in the presentation at $1 billion, showing an additional yield of +636 basis points at 0.5 times NAV. Enough to reduce dilution, corner short sellers and strengthen shareholder value.
Bitcoin is no longer content to be a passive store of value in Strategy’s coffers. It becomes a tool for tax optimization, capital management and shareholder value creation. This may be the model that other BTC holding companies will eventually adopt, and Strategy has just paved the way.
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