Strategy Bets Bigger on Bitcoin Despite Heavy Q1 Losses

Strategy, the rebranded version of MicroStrategy, is pushing forward with its Bitcoin accumulation campaign despite disappointing financial results for the first quarter.

While the company reported a staggering $4.2 billion net loss, mainly due to unrealized losses on its crypto holdings, it still boasted a 13.7% year-to-date return on Bitcoin, equivalent to over 61,000 BTC or roughly $5.8 billion in value.

CFO Andrew Kang revealed ambitions to nearly double that performance, setting new internal benchmarks of a 25% Bitcoin yield and a $15 billion gain target. These figures are proprietary metrics the firm uses to measure its crypto exposure, rather than standard financial indicators.

Revenues dipped 3.6% from the previous year to $111.1 million, missing forecasts. The company also plans to issue $21 billion in new stock to bankroll future Bitcoin purchases.

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Since adopting its crypto-first strategy in 2020, Strategy has accumulated over 550,000 BTC at an average cost near $68,500 each, totaling nearly $38 billion in expenditure. As of May 1, those holdings are worth about $53 billion.

While Strategy stock (MSTR) is up over 31% in 2025, it remains below its peak from November. Market watchers say large-scale buying from institutions like Strategy may make Bitcoin increasingly inaccessible to everyday investors, with public and institutional holdings now surpassing $200 billion globally.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.