G’day Bitcoiner,

Here’s the week in Bitcoin treasuries.

🔥 STRATEGY Q2 2025 EARNINGS: BITCOIN-POWERED. WALL STREET-CRUSHING. 🔥

🚀 Twenty One to Hold 43,500 BTC at Listing, Becoming 3rd-Largest Corporate Bitcoin Treasury

🇺🇸🏦 Tether Posts $4.9B Profit as BTC-Backed Reserves Surge

📦 Coinbase Reclaims Top 10 Spot with $253M Bitcoin Buy

🔥 STRATEGY Q2 2025 EARNINGS: BITCOIN-POWERED. WALL STREET-CRUSHING. 🔥

Strategy™ (formerly MicroStrategy) has once again redefined the frontier of corporate finance. In Q2 2025, the company delivered record-breaking earnings, aggressively expanded its bitcoin holdings, and launched a $4.2 billion capital raise - all in pursuit of maximizing Bitcoin per share.

It’s the boldest treasury play on the planet. And it’s working.

📈 Q2 FINANCIAL POWER PLAY

• $14.0 BILLION in Operating Income

• $10.0 BILLION in Net Income

• $32.60 Diluted EPS - an all-time high

Fueled by fair value gains and the rising price of bitcoin, Strategy now ranks among the most profitable public companies globally. In a single quarter, bitcoin appreciation alone delivered $14 billion in operating income.

₿ BITCOIN, ENGINEERED FOR SHAREHOLDER ACCRETION

• 628,791 BTC held (as of July)

• $46.07B total cost basis

• $73,277 average cost per BTC YTD

• 25.0% BTC Yield year-to-date

• $13.2B BTC $ Gain YTD

With Q2 bitcoin gains of 30% and BTC per share up 25%, Strategy has already surpassed its original 2025 performance targets - and is now raising guidance to 30% BTC Yield and $20B in BTC $ Gain by year-end.

💸 CAPITAL RAISING MASTERCLASS

Strategy raised $10.5B+ through equity and preferred offerings in Q2 and July, proving its model: disciplined, mNAV-based issuance used to fuel long-term bitcoin accumulation.

Breakdown:

• $5.2B via common stock ATM

• $446.9M from STRK ATM

• $979.7M from STRD IPO

• $2.5B from STRC IPO

• $143.5M in follow-on STRF and STRD offerings

But the biggest move yet? A new $4.2 billion STRC Stock ATM program - announced July 31 - executed through TD Securities, Barclays, Morgan Stanley, Benchmark Company, and Clear Street. The proceeds? To be used for buying more bitcoin, covering working capital, and funding monthly dividends.

Each STRC share carries a $100 liquidation preference and begins with a 9.00% annual dividend, adjustable based on Bitcoin price, debt ratios, and market conditions—creating a dynamic yield instrument built for capital markets stability.

As Strategy stated:

🧮 FY2025 EARNINGS OUTLOOK

(Assumes BTC ends year at $150,000)

• $34B Operating Income

• $24B Net Income

• $80/share Diluted EPS

Yes, eighty. And every dollar is powered by bitcoin on the balance sheet.

🧱 STRC: A NEW CLASS OF CAPITAL

STRC isn’t just another preferred stock—it’s the first Treasury Preferred Stock:

• Short-duration

• High-yield

• Monthly dividend payments

• Engineered for price stability

With a rules-based dividend framework and flexible rate adjustments, STRC is tailor-made for investors seeking predictable income in a bitcoin-aligned structure. Its expanded ATM program cements STRC as the financial bridge between capital markets and digital assets.

🧠 Capital Strategy 2.0 - The Bitcoin Yield Curve

Michael Saylor isn’t just buying bitcoin. He’s rebuilding corporate finance from scratch - with BTC as the foundation.

He’s now aiming to create a Bitcoin yield curve, complete with credit instruments, rating agency models, and open-source treasury frameworks. The vision is global: scale Bitcoin as the default reserve asset for corporations.

And at the heart of it all is STRC - a new kind of preferred equity that Saylor called:

A product so simple and compelling, even “normie investors” get it. STRC offers monthly dividends, short duration, and yields that blow past short-term Treasuries - all wrapped in a Bitcoin-native wrapper.

If Bitcoin volatility stays tame, Saylor believes they can responsibly scale leverage up to 30–50%, backed by this product line.

📏 The Showstopper: mNAV-Based Equity Guidance

This is what has the Bitcoin crowd buzzing.

MSTR announced a new rule-based discipline for issuing shares, tied to modified Net Asset Value (mNAV):

• >4.0x mNAV (~$1,000+ share price): Active issuance to buy more BTC

• 2.5x–4.0x mNAV (~$600–$1,000): Opportunistic BTC-driven issuance

• <2.5x mNAV (<$600): No issuance, except for debt interest or preferred dividends

• <1.0x mNAV (<$210): They may issue credit to buy back shares

As Brian Brookshire noted:

This is Saylor’s anti-dilution framework, built into the corporate DNA.

📉 Market Shrug, Bitcoin Maxis Roar

Wall Street barely blinked - MSTR ticked down after earnings, caught in the broader tech slump (Coinbase dropped 9% the same day). But in Bitcoin circles? Absolute euphoria.

CEO Phong Le didn’t mince words: MicroStrategy is trading at just 20% of its real value. You can bet Saylor’s going to pound that narrative across every financial outlet for the next three months.

🚀 THE MISSION: BITCOIN AS DIGITAL CAPITAL

Strategy, under the leadership of Executive Chairman Michael Saylor, isn’t just holding Bitcoin. The company is building an entirely new financial architecture around it—with equities, yield instruments, and algorithmic issuance frameworks that mirror Wall Street... but run on Satoshis.

Every capital raise.
Every KPI.
Every preferred share.
Engineered to increase Bitcoin per share.

Bitcoin is no longer a hedge. For Strategy, it’s capital itself.

Short ₿its 🌟

📦 Coinbase Reclaims Top 10 Spot with $253M Bitcoin Buy
Coinbase ($COIN) added 2,509 BTC in Q2 - surpassing Tesla to reclaim its spot in the Top 10 corporate Bitcoin holders. Now holding 11,776 BTC, Coinbase is doubling down with a weekly DCA strategy to steadily expand its treasury stack.

🏦 Tether Posts $4.9B Profit as BTC-Backed Reserves Surge
Tether reported a record $4.9B Q2 profit, with $2.6B driven by its Bitcoin and gold holdings. Now holding over $157B USD₮ in circulation and $127B in U.S. Treasuries, Tether is proving that Bitcoin-backed balance sheets can anchor global digital liquidity.

🚀 Twenty One to Hold 43,500 BTC at Listing, Becoming 3rd-Largest Corporate Bitcoin Treasury
With 5,800 new BTC incoming from Tether and institutional backers, Twenty One is set to debut as a fully Bitcoin-native public company, anchored in a transparent, on-chain treasury. Each share is expected to represent 12,559 sats, with Bitcoin Per Share (BPS) as its core performance metric.

🏥 Semler Scientific Adds 237 BTC, Now 12th Largest Public Holder
With a fresh $23.3M buy, Semler's stack hits 2,321 BTC - boosting its BTC yield to 99.3% and underscoring the accelerating wave of corporate Bitcoin adoption.

🇬🇧 Smarter Web Company Adds 225 BTC, Treasury Hits 2,050 Bitcoin
The UK firm spent £19.9M at an average price of £88,482 per BTC, pushing its Bitcoin holdings past £166M and locking in a staggering 49,198% YTD yield on its treasury strategy.

🇯🇵 Metaplanet Adds 780 BTC, Pushing Treasury to 17,132 Bitcoin
With a July BTC Yield of 22.5% and a quarterly yield of 129.4%, Metaplanet now holds the largest corporate Bitcoin treasury outside the U.S. - valued near $2B at current prices.

💰 Marathon (MARA) Raises $950M to Expand Bitcoin Treasury
The zero-coupon debt deal, maturing in 2032, netted $940.5M from institutional investors - fueling MARA’s strategy to significantly grow its Bitcoin holdings.

Tweet of The Week

Podcast of The Week

🎙️ Strategy (MSTR) Q2 2025 Earnings Call: Saylor, Bitcoin & a New Financial Era
Michael Saylor, Phong Le, and Andrew Kang unpack Strategy’s record-breaking quarter - highlighting a $14B profit surge, 628,791 BTC on the balance sheet, and bold new moves to reshape global finance around Bitcoin. This isn’t just earnings—it’s the Bitcoin playbook going mainstream.

If you have questions about how Bitcoin could help you or your business, please don’t hesitate to reach out for a free 30-minute consultation 🕒. We're here to help you navigate the future of Bitcoin 💡

Thanks for reading! We hope you’ve enjoyed this week’s edition and look forward to seeing you next week! 👋

Daniel 

for Bitcoin on Balance

32 York Street, Sydney NSW 2000, Australia

https://www.bitcoinonbalance.com/