Original title: 8 Lessons in Bitcoin Treasury Strategy from the Strategy (MSTR) Q1 Call
Original author: Nick Ward
Original source: https://bitcoinmagazine.com/
Compiled by: Daisy, Mars Finance
The strategic company (MSTR) first-quarter earnings call revealed eight capital strategies—from Bitcoin yield to fixed income instruments—that are reshaping the way corporate Bitcoin treasuries operate.
The strategic company (MSTR) has just released its first-quarter earnings presentation for 2025, which is not just a routine update but a complete blueprint for expanding the corporate Bitcoin treasury with institutional-level rigor. The company (formerly MicroStrategy) elaborated on its evolving capital plans, updated key performance indicators (KPIs), and the financial logic behind each initiative.
If you are a CFO, investor, or strategic operator evaluating Bitcoin as a corporate asset, this earnings call clearly demonstrates how to build a Bitcoin-backed capital structure, measure performance, and achieve long-term value creation. Here are the key points:
1. Continuous large-scale accumulation of Bitcoin
The strategic company currently holds 553,555 BTC—the most among publicly traded companies worldwide. Since the beginning of this year, the company has further acquired 106,085 BTC at an average price of approximately $93,600, bringing its total Bitcoin market value to about $52 billion, which is equivalent to 2.6% of the total Bitcoin supply.
The significance of this move lies not only in the scale of the holdings but also in the speed and consistency of the increases. Since August 2020, the strategic company has been increasing its Bitcoin holdings every quarter without interruption. This is not an opportunistic allocation but a disciplined capital management strategy.
Notably, 100% of the Bitcoin held by the strategic company is uncollateralized. This makes it high-quality collateral that can be used for future fixed income instruments or as guarantees for equity-linked products.
For corporate finance leaders, this confirms one point: as long as a sound system and discipline are established, Bitcoin can be managed in a predictable manner like any core capital asset.
2. Raised $10 billion in four months
In just the first four months of 2025, the strategic company raised $10 billion through a diversified capital structure:
$6.6 billion raised through ATM equity financing
$2 billion raised through convertible notes (0% coupon, 35% conversion premium)
$1.4 billion raised through preferred shares (Strike & Strife series)
This speed is remarkable. But more importantly, each financing is evaluated around Bitcoin-exclusive KPIs: yield, leverage effect, and net asset value (NAV) impact. The assessment criteria for each issuance are not traditional metrics (such as earnings per share EPS or EBITDA), but rather their contribution to the compound growth capacity of Bitcoin per share.
This distinction is crucial: the strategic company (MSTR) is not passively defending against inflation but actively converting—turning capital into Bitcoin and then Bitcoin into long-term excess returns.
For other publicly traded companies, this provides a roadmap for Bitcoin capital strategies that do not rely on operating income or waiting for high cash flow quarters.
3. New Capital Target: 42/42 Plan
In the fourth quarter of 2024, the strategic company launched the '21/21 Plan' to raise $21 billion in equity and $21 billion in fixed income. As of the first quarter of 2025, this target is nearing completion.
So they directly doubled their target.
The new target is set as the '42/42 Plan':
$42 billion in equity financing
$42 billion in fixed income financing
Completion deadline: By the end of 2027
What does this mean? Because it establishes a scalable Bitcoin accumulation model through structured capital formation. The strategic company not only holds Bitcoin but is also building a sustainable operational system.
This capital plan provides the space to expand in line with market conditions, utilize different phases of the yield curve, and gradually optimize leverage. This level of financial engineering is worth in-depth study by all capital management teams.
4. Bitcoin KPI Reconstruction: Yield, Appreciation, and Leverage Effect
The strategic company has raised its internal target for 2025:
Bitcoin Yield: 15% → 25%
Bitcoin Dollar Appreciation: $10 billion → $15 billion
What do these metrics mean?
Bitcoin Yield: The amount of growth per share of Bitcoin after accounting for dilution effects
Bitcoin Appreciation: The total value of Bitcoin acquired through capital operations
Bitcoin Leverage Effect: The value created for shareholders for every dollar of capital raised
The strategic company is no longer chasing traditional operational metrics but is fully focused on the long-term accumulation of Bitcoin per share. This KPI framework renders equity dilution irrelevant—as long as each issuance brings more Bitcoin to every shareholder.
This redefinition of capital efficiency will become increasingly important for all corporate Bitcoin treasury enterprises in the path toward scaling.
5. MSTR Stock: Volatility Engine
One of the most surprising insights from the call: the strategic company is now tracking 'MSTR Yield'—traders can earn an annualized return of 103% by selling MSTR call options at parity.
The significance of this metric lies in explaining why MSTR stock can trade at a premium over its Bitcoin asset net asset value (NAV). The stock itself has evolved into a financial product: highly volatile, highly liquid, and durable. This not only attracts equity investors but also volatility traders, ETF builders, and income-seeking institutions.
This is a real case combining Bitcoin exposure with deep capital markets—creating new forms of income for shareholders without sacrificing Bitcoin custody.
6. Strike and Strife: Zero-dilution capital instruments
In the first quarter of 2025, the strategic company launched two new types of priority securities:
Strike: 8% convertible preferred shares
Strife: 10% perpetual preferred shares
Both exhibit characteristics of public trading, high liquidity, and income generation. More importantly, they provide permanent capital:
No refinancing risk
No collateral requirements
Unlimited terms
Among them, Strife will not convert to common stock, meaning zero dilution of shareholder equity. These tools can strongly support Bitcoin accumulation without harming shareholder value or control. As these tools mature, they may give rise to a new fixed income market anchored to Bitcoin—this progress could attract large capital allocators into the ecosystem.
7. Bitcoin Credit Rating: Future Assessment Framework
The strategic company proposed a revolutionary corporate credit assessment method: using Bitcoin as collateral.
The introduced metrics include:
Bitcoin Risk: The likelihood of insufficient collateral at maturity
Bitcoin Credit Spread: The yield required to offset Bitcoin risk
Bitcoin Credit Threshold Rate: The minimum actual return rate (ARR) required to maintain an investment-grade rating
Based on this model, the strategic company (MSTR) believes that both its convertible notes and preferred shares are significantly over-collateralized and should be viewed as investment-grade—even though the market currently classifies them as distressed debt.
Saylor's call? To push rating agencies to adopt a Bitcoin-collateralized credit framework. If successful, it will give rise to a new category of fixed income: Bitcoin-collateralized investment-grade corporate bonds.
8. MNAV and shareholder value creation
The most underrated insight from the earnings call is how the strategic company calculates and maintains its premium over Bitcoin asset net asset value ('MNAV').
Saylor outlined the three main drivers of MNAV:
Raise capital at a premium over NAV
Long-term high Bitcoin yield and leverage effect
Capital structure characterized by durability and option value
By using tools like Strife (which generates 19 basis points of Bitcoin yield under zero dilution), the strategic company can create substantial shareholder value while maintaining downside protection. Its model demonstrates that financing at 2x NAV and allocating Bitcoin can generate more significant long-term value than merely holding Bitcoin.
Final conclusion: The strategic company is building a financial operating system for Bitcoin
This earnings call is not only a progress update but also a declaration of vision.
The strategic company (MSTR) is not just holding Bitcoin—they are monetizing volatility, using Bitcoin to collateralize their balance sheet, and creating a new asset class in the process.
For CFOs or board members of publicly traded companies evaluating Bitcoin, 'Can we responsibly allocate Bitcoin?' is no longer the question. The real question is: Do you know how to create value from it?
Because companies that master this method will gain a capital advantage that other businesses can never reach.
