Serial cryptocurrency acquirer Strategy (NASDAQ: $MSTR) purchased 520 Bitcoin over the past week as the price of the largest cryptocurrency continues to decline.
Strategy, led by chairman Michael Saylor, paid a total of $35 million U.S. for its latest Bitcoin acquisitions.
The company now owns 847,363 BTC worth $54.79 billion U.S. Strategy remains the largest corporate owner of Bitcoin in the world.
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In addition to its latest Bitcoin purchases, Strategy also increased its cash reserve by $300 million U.S. to $1.40 billion U.S.
The cash reserve is used to support the dividends paid on Strategy’s preferred stock (NASDAQ: $STRC), which is known as “Stretch.”
In a statement posted on social media, Strategy said that it will keep replenishing the cash reserve to support the dividend, as well as the credit quality of its stocks.
Strategy has come under pressure as the price of its preferred stock has fallen below its par value of $100 U.S. to $88.59 U.S. per share.
The preferred stock pays a dividend to shareholders twice per month. And that dividend payment currently yields 12.5%. Some analysts have questioned the dividend’s sustainability.
Strategy’s main stock, ticker symbol “MSTR,” has declined 69% in the last 12 months to trade at $112.53 U.S. per share.
Bitcoin’s price is trading $64,850 U.S. on June 22. However, the price of BTC had fallen as low as $62,000 U.S. last week after the Federal Reserve turned hawkish on interest rates.