Strategy Stock (MSTR); Fixed as the company reduces its 2029 notes by $1.5 billion

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• The strategy bought back $1.5 billion worth of bonds in 2029, reducing debt while keeping Bitcoin holdings generally unchanged.
• The company reduced total debt from $8.2 billion to $6.7 billion using cash reserves, and avoiding Bitcoin sales.
• Market reaction remained steady as investors balanced low leverage against the ongoing exposure risk to Bitcoin.
• The strategy continues to hold over 843,000 bitcoins, strengthening its identity as a bitcoin treasury company.

(NASDAQ:MSTR) saw its shares trade largely unchanged after the company Announce A big debt reduction move includes its 2029 convertible bonds. The Bitcoin-focused treasury firm confirmed it has bought back $1.5 billion worth of zero-interest convertible bonds, signaling ongoing efforts to strengthen its balance sheet while maintaining its aggressive digital asset strategy.

Despite the size of the deal, market reaction remained muted, with investors appearing to weigh both the low leverage and the company’s continued reliance on Bitcoin as a primary treasury reserve asset.

Intensifying efforts to reduce debt

The strategy disclosed in a regulatory filing that it had repurchased $1.5 billion of its 0% convertible senior notes due 2029. The repurchase was undertaken at a cost of approximately $1.38 billion and was funded entirely through cash reserves rather than monetizing Bitcoin holdings or issuing additional shares tied to exposure to cryptocurrencies.

Strategy Company, MSTR

The move reduced the company’s total outstanding debt from $8.2 billion to $6.7 billion, marking one of the most notable debt reduction measures in recent quarters.

The cash position remains strong

After the deal, strategy It reported approximately $871 million of cash remaining after accounting for related capital adjustments. The company emphasized that the buyback was carried out strategically without interfering with its Bitcoin accumulation strategy.

The 2029 Notes, which were originally structured without regular interest payments, were initially convertible at about $672.40 per share. Reducing this liability provides the company with greater flexibility in the final years before maturity in December 2029.

Bitcoin strategy remains the primary focus

While deleveraging, the strategy reaffirmed its long-term approach of using debt and equity instruments to build its Bitcoin treasury. The company remains one of the largest holders of Bitcoin globally, reporting holdings of 843,738 BTC.

These assets were acquired at an average price of approximately US$75,700 per coin, bringing the total cost basis to approximately US$63.9 billion. The company continues to position Bitcoin as its primary reserve asset, reinforcing its identity shift after rebranding from Accurate strategy Earlier this year.

Market reaction remains muted

Despite the significant deleveraging, MSTR shares showed little movement in the trading sessions after the announcement. Analysts note that the weak reaction reflects a balancing of positives, lower leverage and improved liquidity, against persistent concerns about Bitcoin volatility and higher exposure to the company’s treasury.

The Latest: 💰 The strategy has agreed to buy back about $1.5 billion of its 2029 convertible notes at a discount, with bitcoin sales listed as one potential funding source. https://t.co/gbMQYl8BNF pic.twitter.com/xXMMQLEkYX

— CoinMarketCap (@CoinMarketCap) May 25, 2026

Investors also noted that Strategy recently issued $2 billion worth of bonds in 2030, suggesting that despite drawing down some debt, the company continues to manage its capital structure effectively through issuance and repurchase strategies.

Strategic positioning in the future

The latest deal highlights Strategy’s ongoing efforts to walk a fine line between financial discipline and aggressiveness Bitcoin accumulation. By reducing near-term liabilities while maintaining a massive cryptocurrency balance sheet, the company continues to operate as one of the most unconventional corporate treasuries in global markets.

For now, investors appear to be taking a wait-and-see approach, with stock performance remaining steady as they evaluate whether deleveraging efforts will translate into long-term valuation stability.