Strategy Shares Lag Behind Bitcoin Despite Aggressive Accumulation and Funding Shift
Bitcoin’s latest rally has not lifted all boats equally.
As BTC edges toward $110,000, up roughly 13% in May, shares of bitcoin-heavyweight Strategy (MSTR) have fallen 3%, trading around $372. The divergence underscores growing concerns around the firm’s valuation and evolving capital strategy, even as it continues to aggressively accumulate bitcoin.
While Strategy helped institutionalize the corporate bitcoin treasury model, the firm is now facing competition from a growing number of public companies adopting similar playbooks. Data from BitcoinTreasuries.net shows that 113 public firms globally now report bitcoin holdings, up from 102 just a month ago. As a result, Strategy’s perceived first-mover advantage appears to be fading.
This is reflected in the company’s market-to-net asset value (mNAV), which has compressed to 1.80—its lowest level in nearly a year. A declining mNAV means the market is assigning less premium to the company beyond the raw value of its bitcoin holdings. This, in turn, restricts its ability to raise capital through equity offerings without risking excessive dilution.
In response, Strategy has begun diversifying its funding mix. Its most recent bitcoin purchase—4,020 BTC—was funded through a combination of sources: 81.7% via common stock, 15.9% from STRK preferred shares, and 2.4% from STRF, according to analyst Ben Werkman. This shift signals a move to balance dilution risk while keeping pace with its long-term accumulation goals.
Despite the short-term underperformance of MSTR relative to BTC, analysts say the broader structure remains sound. But without a renewed premium or strategic pivot, Strategy may struggle to maintain its leadership position in the rapidly evolving corporate bitcoin landscape.
