Strategy

Strategy (formerly known as MicroStrategy) has been around for 36 years. However, its name has not always been associated with cryptocurrency — it was only in the last five years that Strategy became one of the main holders of BTC. Otherwise, the company's activities include developments in business analytics, mobile applications, and cloud storage. Thus, Strategy is not an investment organization.

When it comes to acquiring Bitcoins, the company uses various approaches. Most often, these are operations with various securities. For example, in February this year, Strategy announced the issuance of convertible bonds worth $2 billion to acquire BTC, and in June — the sale of preferred shares worth nearly $1 billion to acquire even more of the first cryptocurrency.

But why does the management of Strategy need this? After all, bonds mean accumulating debt, while shares can generate profits for themselves.

Hidden Meaning

Strategy's actions regarding financial planning are quite sensible. Regarding the bonds, the issuance placed in February did not have a coupon. In other words, there will be no need to pay on them, and they can be converted into Strategy shares. There is one nuance: the conversion will occur with a certain premium. However, it is quite likely that by the time the bonds mature, the shares will be traded on the market at a higher price than under the stated conditions.

Now let's move on to the shares. Strategy began accumulating BTC in August 2020. At that time, its shares were trading in the range of $12 to $15. Their current value is nearly $404, and at the peak in November 2024, it even reached $543. Thus, from August 2020 to early July 2025, the price of Strategy's shares soared 33.7 times. The question arises: why not lock in some profits right now?

Source: tradingview.com

It is also worth considering one more nuance. Since August 2020, Bitcoin has increased 10.2 times. This is a great result, but against the backdrop of the growth of Strategy's shares during the same period, it looks quite trivial.

Nevertheless, not everything is so bad for BTC. One of the strong points of the first cryptocurrency from an economic perspective is its small and limited issuance. With shares, this is not quite the case. No one can prohibit management from making additional issuances or splits. Furthermore, BTC is not dependent on traditional financial institutions and can continue to function outside their influence. However, this cannot be said about Strategy. The company cannot be insured, for example, against bankruptcy. Moreover, management likely understands that the growth of shares will not always be so explosive, so getting rid of them in time is not a bad idea.

BlackRock

BlackRock is only a year older than Strategy — it was founded in 1988. However, when it comes to Bitcoin, one should consider not the entire company but its separate spot ETF — IBIT. It was allowed to trade relatively recently — in January 2024. Essentially, IBIT is an investment fund that invests money in BTC. Its shares are traded on the stock exchange, and their price follows Bitcoin.

Thus, the differences from Strategy are evident. IBIT is an investment product, not a fintech organization. Moreover, there is a difference in approaches to holding the BTC itself. Strategy holds them on its balance sheet and is essentially their direct owner. IBIT also buys BTC, but the investors are the actual owners. However, although spot ETFs on Bitcoin claim that this is not a direct way to invest in cryptocurrency, in reality, shares of IBIT cannot be exchanged for BTC.

Choice of Private Investor

So what is better for ordinary private investors? It all depends on specific goals. Those investors who want to make money quickly choose Strategy. At the same time, one should be aware that greater potential profits carry greater risks — for example, significant price drops.

IBIT is a more conservative method. There will be no price spikes here, but the returns will be lower. Additionally, unlike Strategy, a certain fee will need to be paid to the fund. As of July 2025, it stands at 0.25%.

In any case, it is worth remembering that by buying either the securities of Strategy or the shares of IBIT, investors do not acquire Bitcoin in the literal sense of the word. In this regard, a separate term has even been invented in English-language sources — 'proxy Bitcoin stocks'.

BTC Reserves

According to the Bitcointreasuries portal, as of July 2025, Strategy holds over 597,000 Bitcoins. This makes the company the largest organization whose shares are freely traded on the exchange.

Source: bitcointreasuries.net

According to the Bitbo portal, as of July 2025, IBIT holds slightly less than 699,000 BTC. Thus, it is the largest spot ETF by Bitcoin reserves.

Source: bitbo.io

Conclusion

Both Strategy and IBIT invest in BTC. However, the style of acquisition and ownership differs significantly. A regular private investor in both cases should remember that purchasing securities of either the company or the fund does not grant direct rights to Bitcoin.

This material and the information contained herein do not constitute individual or any other investment advice. The editorial opinion may not coincide with the opinions of analytical portals and experts.