Strategy: MSTR Has Beaten Bitcoin in Every Rolling Four-Year Holding Period

Strategy Inc. (Nasdaq: MSTR) says its stock has outperformed bitcoin in every rolling four-year holding period since it adopted a bitcoin-focused treasury strategy. CEO Phong Le said on Aug. 3 that the company's analysis of annualized returns for investments initiated between August 2020 and August 2022 shows MSTR delivered stronger results than bitcoin across each corresponding four-year window. Le said: "MSTR has outperformed BTC in every four-year holding period since adopting the bitcoin Strategy. This is by design and aligns with our long-term objective." The company argues that rolling-period comparisons, which evaluate outcomes from multiple start dates rather than a single entry point, provide a broader view of long-term performance. The approach also differs from the common framing of bitcoin returns around its historical four-year cycle tied to halving events. Le's remarks echo Executive Chairman Michael Saylor's view that institutional capital flows, exchange-traded funds, and corporate treasury adoption are reshaping bitcoin's trading behavior, with demand increasingly driven by sustained inflows rather than traditional cycle dynamics. Institutional ownership in MSTR continued to expand in the first quarter. Le said in a May 20 update that 13 of the company's 15 largest institutional holders increased their combined positions by 27%. Capital Group, Vanguard, BlackRock, Fidelity, and State Street were among the firms that added exposure. Strategy says these holdings widen indirect bitcoin exposure through mutual funds, pension plans, retirement accounts, and ETFs used by millions of investors. Strategy also says investors have increasingly valued MSTR above the market value of its bitcoin holdings, citing the firm's ability to issue equity and preferred securities, raise capital efficiently, and deploy proceeds to buy additional bitcoin. In its second-quarter earnings release, Strategy reported holding 843,775 bitcoin as of July 27. It reported a 4.5% year-to-date BTC yield through July 26 and said it raised $17.06 billion through its capital programs during 2026. The company acknowledged the model introduces balance-sheet and dilution risks, and a recent U.S. Securities and Exchange Commission filing said shifts in bitcoin prices, capital-market conditions, financing costs, and future securities offerings could materially affect financial results and shareholders. Following the second-quarter update, Strategy completed its third bitcoin sale of 2026 to meet obligations tied to preferred securities, reducing holdings from 843,775 bitcoin to 842,138 bitcoin. The move has intensified debate around a financing structure built on preferred stock, equity issuance, and bitcoin-linked capital allocation. Economist Peter Schiff has argued that selling bitcoin to fund preferred dividends shifts value away from MSTR shareholders, challenging management's position that diversified financing supports long-term treasury expansion. Strategy said preferred dividend payments are backed by a $3.75 billion reserve covering more than 2.1 years of dividends and interest. The company has also authorized separate $1 billion repurchase programs for MSTR and its digital credit securities, with the MSTR program unused through July 26.