Strategy Inc. (NASDAQ:MSTR) has bought $3.38 billion of Bitcoin (CRYPTO: BTC) over two weeks, but analyst Dylan LeClair says the bigger move is a balance sheet restructuring that quietly happened alongside the purchase.
The Debt Swap Nobody Noticed
Strategy just crossed a major milestone: perpetual preferred stock now outweighs convertible bonds on the balance sheet for the first time.
Convertible debt dropped to 9.18% of Bitcoin holdings from 9.67% at the start of the year. Perpetual preferred shares like STRC climbed from 9.19% to 9.36%.
Here’s why that matters: convertible bonds have expiration dates. When they come due, Strategy has to either pay them back or refinance—and if Bitcoin prices are crashing when that bill comes due, the company faces tough choices.
Preferred shares are different. They never mature. Strategy pays a dividend, but there’s no principal repayment and no clock ticking toward a refinancing deadline.
That means no forced …