TLDR
- Strategy’s Bitcoin stash of 640,031 BTC is now worth $77.4B, surpassing major banks’ market caps.
- Bitcoin’s rise to $120K fuels Strategy’s record-breaking treasury.
- Strategy holds 3.2% of the total Bitcoin supply, equivalent to some nations’ GDP.
- Strategy’s 35x growth since 2020 shows the value of early Bitcoin adoption.
Strategy, the digital asset treasury firm led by Michael Saylor, has reached a significant milestone, with its Bitcoin holdings now valued at $77.4 billion. This surge follows Bitcoin’s price return to $120,000, reflecting both the broader market rally and the firm’s consistent acquisition strategy. Strategy’s Bitcoin holdings have now surpassed the market capitalization of several major banks and even rival the GDP of smaller nations.
Michael Saylor, CEO of Strategy, shared the firm’s journey, noting that their Bitcoin holdings began at just $0.25 billion, with an initial unrealized loss of $0.04 billion. Today, the value of their Bitcoin portfolio is close to double what it was in 2024, thanks to strategic buying over the past seven weeks, adding 11,085 BTC to their treasury. This success underscores the long-term conviction that Saylor and his team have had in Bitcoin, even through market fluctuations.
Strategy Bitcoin Stash Outperforms Major Financial Institutions
The firm’s impressive stash of 640,031 BTC now represents 3.2% of the total circulating supply, putting it ahead of several major financial institutions. With a total value of $77.4 billion, Strategy’s Bitcoin holdings are now larger than the market capitalization of notable banks such as BNY Mellon, Barclays, Deutsche Bank, and Lloyds.
The significance of Strategy’s position goes beyond just the value of the Bitcoin. It’s now a digital asset treasury giant, comparable to the GDP of nations like Uruguay, Sri Lanka, and Slovenia.
In fact, the value of Strategy’s Bitcoin reserves is enough to buy 2.5 million cars at $30,000 each or 385,000 homes priced at $200,000. These comparisons highlight the scale and influence that Bitcoin now has, both as an asset and as a reserve currency for corporate treasuries.
A Growing Corporate Bitcoin Trend: 35x Growth Since 2020
Since its first Bitcoin purchase in 2020, Strategy has seen its Bitcoin portfolio grow substantially. At that time, the company held just $2.1 billion in Bitcoin, a figure that was considered aggressive by many. By 2021, this amount had appreciated to $5.7 billion.
After some setbacks during the crypto bear market of 2022, Strategy’s holdings rebounded to $8 billion in 2023, before more than quintupling to $41.8 billion in 2024.
With Bitcoin now priced at $120,000, Strategy’s holdings have reached an impressive $77.4 billion. This represents a staggering 35-fold increase in just five years, highlighting the potential benefits of early corporate adoption of Bitcoin as a store of value.
Strategy’s Bitcoin Holdings: A Valuable Asset in the Global Economy
Strategy’s Bitcoin holdings continue to grow, but they are not only significant in terms of value. The company’s position in the market is a reflection of a broader trend: the adoption of Bitcoin by corporations as a primary reserve asset.
This move is not without its critics, who argue that Bitcoin’s volatility makes it a risky asset. However, supporters point to Bitcoin’s strong performance against inflation and its ability to serve as a hedge against fiat currency depreciation.
Despite market fluctuations, Strategy has maintained its commitment to Bitcoin, never selling any of its holdings since its first purchase. This long-term strategy has positioned the firm as a leader in the growing corporate adoption of Bitcoin.
Strategy Avoids Potential Tax Burden on Unrealized Gains
In a recent move that will provide relief to Strategy, the firm announced it no longer expects to face a multi-billion-dollar tax liability due to unrealized gains on its Bitcoin holdings.
New guidance from the IRS and Treasury clarified that unrealized Bitcoin gains do not need to be included in the Corporate Alternative Minimum Tax (CAMT) calculation, saving Strategy billions in potential payments.
This tax relief further bolsters Strategy’s position, as the company now sits on roughly $28 billion in unrealized profits. This development reduces the risk that long-term Bitcoin treasuries like Strategy’s will be penalized for holding appreciating assets, making Bitcoin an even more attractive option for corporate treasuries.
