Grayscale Analyst Urges Strategy (STRC) to Liquidate $3B in Bitcoin Holdings

TLDR

Zach Pandl, Grayscale’s research director, recommends Strategy liquidate no less than $3 billion worth of Bitcoin to meet cash requirements for the coming two years
STRC, Strategy’s preferred shares, dropped to $71.25 on Friday, representing a discount of almost 29% compared to its $100 par value
While Strategy possesses 847,363 BTC, its dividend payment coverage stands at approximately 14 months
According to CryptoQuant, alternative solutions exist, such as increasing the company’s current 11.5% dividend yield
Skeptics including Peter Schiff caution that substantial Bitcoin liquidation might trigger a market-wide collapse

Zach Pandl, who leads research at Grayscale, has publicly urged Strategy to liquidate a minimum of $3 billion worth of Bitcoin. According to Pandl, such a transaction would satisfy virtually all cash requirements for the upcoming 24 months and could rebuild trust among investors.

Pandl posted his analysis on X during the weekend, presenting two potential scenarios for Strategy as the new week begins.

His anticipated scenario involves a 50-basis-point bump to STRC’s dividend rate, Strategy’s preferred equity instrument. This adjustment would introduce approximately $100 million in additional yearly commitments across a two-year period. Pandl expressed skepticism, noting this approach “probably does not help market confidence.”

His recommended path forward centers on selling Bitcoin directly.

Liquidity Constraints Mounting for Strategy

Strategy maintains the world’s largest publicly traded corporate Bitcoin treasury, currently holding 847,363 BTC.

Yet despite this substantial Bitcoin stockpile, the company’s liquid capital position faces increasing strain. Data from blockchain intelligence provider CryptoQuant indicates Strategy’s cash reserves have declined 38% during 2026.

Recent SEC 8-K documentation revealed Strategy increased its US dollar reserves by $300 million, bringing the total to $1.4 billion. This capital currently provides approximately 14 months of dividend payment capacity — a dramatic reduction from the seven-year buffer previously maintained.

Strategy faces yearly preferred dividend commitments totaling roughly $1.2 billion, predominantly tied to STRC.

Sharp Declines Hit Both STRC and MSTR

STRC’s structure anticipates trading close to its $100 par valuation. Last Friday saw the security plummet to $71.25, marking a 28.75% markdown. Strategy’s common equity finished that trading session at $82.31, representing a nearly 27% weekly decline.

June 26 alone witnessed Strategy’s common shares declining 3.45% while STRC retreated 1.48% to settle at $74.57.

The selling pressure intensified following reports that Strategy divested 32 Bitcoin during May 2026. This transaction represented a departure from Executive Chairman Michael Saylor’s longstanding commitment against liquidating corporate Bitcoin reserves.

Previous SEC documentation indicated Strategy might contemplate Bitcoin sales should its modified net asset value fall beneath 1.22x. Current calculations place this metric at roughly 0.999.

Based on present market valuations, Strategy carries an unrealized deficit of approximately $13 billion across its Bitcoin portfolio, per the Saylor Tracker.

Alternative Strategies Under Consideration

CryptoQuant maintains that Strategy faces no mandatory requirement to liquidate Bitcoin holdings. The analytics firm suggests the corporation could instead elevate its existing 11.5% dividend yield as a mechanism to bolster STRC’s trading price.

Bitcoin proponent Samson Mow highlighted an inherent feature within STRC’s framework. When shares trade beneath the $100 reference threshold, Strategy halts additional share issuances. This supply contraction, paired with an enhanced implied yield, might draw fresh capital and drive valuations back toward par.

Skeptic Peter Schiff issued a warning that liquidating significant Bitcoin volumes could inflict damage on the broader Bitcoin marketplace. “Even if Strategy merely stops buying Bitcoin, that change alone would crush the market,” he stated on X.

Strategy announced Monday its intention to continue rebuilding cash reserves to maintain the credit standing of its preferred securities.