Arthur Hayes: With Bitcoin Trading Sideways, Strategy Faces Three Options — Issuing Shares, Selling BTC, or Cutting Dividends

Odaily News: Arthur Hayes stated that Bitcoin has been trading sideways around the $80,000 mark for most of this week, which may undermine the foundation of Strategy's Bitcoin strategy. Strategy currently holds 840,447 BTC and is required to pay approximately $1.5 billion in annual dividends on STRK and STRC.

The enterprise value mNAV of digital asset treasury company Strategy is approximately 1.01x, while its basic mNAV and diluted mNAV stood at about 0.73x and 0.74x respectively on August 27, already close to the book value of its Bitcoin holdings.

Arthur Hayes pointed out that Michael Saylor has the option to issue new shares, directly sell Bitcoin, or cut preferred stock dividends. The STRK dividend yield is 8%, while STRC yields range between 10% and 11.5%. (Bitcoin.com News)