Bitcoin News

Story: TD Cowen Says Strategy’s BTC Buying Model Strong Despite Volatility

By Maheen Hernandez

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Preferred-Share Demand Stays Strong Amid Volatile Conditions. TD Cowen’s analysts, Lance Vitanza and Jonnathan Navarrete, noted an unexpected surge in…

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Euro-Denominated Preferred IPO Drives Fresh Bitcoin Purchases. According to the research note, Strategy deployed roughly $704 million from a recent…

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A Unique Business Model Designed for BTC Accumulation. TD Cowen’s analysts described Strategy as “a new kind of firm” that blends traditional capital…

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Strategy’s Stock Declines, But Core Mechanics Remain Unchanged. Strategy’s stock continued to fall this week, closing at $195.

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Market Experts Say the Model Remains Sustainable. Market observers say Strategy’s ability to consistently raise preferred-share capital reflects the…

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Conclusion: Accumulation Model Unshaken Despite Market Stress. TD Cowen’s analysis makes one thing clear: Strategy’s Bitcoin-buying engine remains strong despite…

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Strategy’s approach to accumulating Bitcoin remains fully intact, according to a new research note from TD Cowen.

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TD Cowen’s analysts, Lance Vitanza and Jonnathan Navarrete, noted an unexpected surge in preferred-share issuance, especially for Strategy’s variable-rate preferred shares.

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“What surprised us was upside issuance of its variable-rate preferred shares in the face of a fairly violent downdraft in the price of Bitcoin,” TD Cowen wrote.

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The strong uptake of preferred shares underscores continued interest from investors seeking exposure to Bitcoin without the volatility of common equity.

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According to the research note, Strategy deployed roughly $704 million from a recent euro-denominated preferred-share IPO.

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Even as market volatility intensified, Strategy acted quickly to convert newly raised capital into Bitcoin.

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This dynamic is central to Strategy’s model: using capital raised through non-dilutive preferred shares to steadily buy more Bitcoin, increasing long-term value for shareholders.

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TD Cowen’s analysts described Strategy as “a new kind of firm” that blends traditional capital markets with Bitcoin-focused treasury operations.

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The company’s variable-rate Stretch Prefs are particularly important. Their adjustable dividend structure helps keep the shares trading close to par, supporting predictable demand.

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