In a groundbreaking move for corporate cryptocurrency investment, Strategy has announced its acquisition of 22,305 Bitcoin (BTC) for around $2.13 billion during the week of January 12-19, 2026. This monumental purchase elevates the company”s total Bitcoin holdings to 709,715 BTC, making it the first corporation to cross the 700,000 Bitcoin threshold.
This acquisition marks Strategy”s most substantial Bitcoin purchase since July 2025, when it acquired 21,021 BTC for $2.47 billion. The latest transaction was financed entirely through stock sales, prompting discussions about the viability of such an aggressive accumulation strategy.
To fund the $2.13 billion purchase, Strategy utilized its at-the-market equity offering program, selling various types of securities. The company raised $1.83 billion by selling 10.4 million shares of its Class A common stock, alongside $294.3 million from 2.95 million shares of its STRC preferred stock, with additional minor amounts from STRK preferred shares. According to the SEC filing, the average price paid per Bitcoin was $95,284, which notably surpasses Strategy”s overall average purchase price of $75,979 per Bitcoin across all its holdings.
Despite this significant investment, the company retains substantial capacity under its stock offering programs, with approximately $38 billion available for future Bitcoin purchases across various security types. This aggressive strategy has seen a marked increase in Bitcoin acquisitions, with Strategy making 41 purchases throughout 2025 compared to just 18 in 2024, averaging 641 Bitcoin acquired per day last year.
Just prior to reaching the 700,000 milestone, Strategy made another notable acquisition, buying 13,627 BTC for $1.25 billion between January 5-11, 2026, at an average price of $91,519 per Bitcoin. This brings the total investment in Bitcoin by Strategy to approximately $53.92 billion, allowing the company to control around 3.37% of Bitcoin”s maximum 21 million supply and 3.55% of the currently circulating Bitcoin.
However, despite this historic milestone, Strategy”s stock has experienced significant pressure. On January 20, 2026, shares dropped approximately 5-7% following the acquisition announcement. Currently, the stock is trading around $158-175, down roughly 50% from its peak of $543 in November 2024. The market capitalization now stands at approximately $45-50 billion, leading to a peculiar situation where the value of its Bitcoin holdings occasionally exceeded the company”s entire market value.
Analysts, including those from TD Cowen, have reacted to this scenario by downgrading their price target for Strategy”s stock from $500 to $440 while maintaining a “Buy” rating. They cited declining “Bitcoin Yield” for fiscal 2026, a key metric for measuring how effectively the company increases its Bitcoin holdings relative to share dilution. The dynamics of Strategy”s business model are becoming increasingly complex; the amount of Bitcoin required to generate one basis point of yield has escalated from 2.6 BTC in 2021 to 58 BTC by 2025.
Looking ahead, Strategy is pursuing its ambitious “21/21 Plan,” introduced in October 2024, aiming to raise $42 billion through equity offerings and another $42 billion through fixed-income instruments and convertible notes, ultimately totaling $84 billion for Bitcoin acquisitions by 2027. As of January 2026, the company is about 45% complete with this plan, having acquired 194,180 Bitcoin since its inception.
Michael Saylor, Strategy”s executive chairman and a leading figure behind the Bitcoin strategy, hinted at the recent purchase with a social media post on January 18, which indicated that a significant acquisition was forthcoming. Market predictions suggest an 81% probability that Strategy will hold 800,000 or more Bitcoin by the end of 2026, reflecting expectations for the continuation of its aggressive accumulation strategy.
However, challenges loom on the horizon, such as potential exclusion from global indices by MSCI, which may affect companies with substantial digital currency holdings. Analysts from JPMorgan estimate that such measures could result in up to $8.8 billion in passive outflows. Additionally, growing competition from Bitcoin spot ETFs is another concern, as these products provide institutional investors with more straightforward access to Bitcoin.
Despite the hurdles, recent legislative progress on the CLARITY Act could provide much-needed regulatory clarity for cryptocurrency markets, which may positively influence future developments.
Strategy”s transformation from MicroStrategy, a business intelligence software firm, into the world”s first and largest Bitcoin treasury company has witnessed its market value rise from $1.1 billion in August 2020 to between $45-50 billion today, notwithstanding recent stock price challenges. The achievement of surpassing 700,000 Bitcoin marks a pivotal moment in the realm of corporate cryptocurrency adoption, showcasing Strategy”s success in its unique vision.
As the company navigates the complexities of its model amid fluctuating market conditions, the long-term sustainability of Michael Saylor”s Bitcoin strategy will largely hinge on Bitcoin”s price trajectory and the company”s ability to maintain investor confidence despite share dilution.
