Strategy (MSTR) CEO Defends Bitcoin Sale as Strategic ‘Inoculation,’ Not a Retreat

Strategy Inc. CEO Defends Bitcoin Sale as Strategic Move, Not a Retreat

In a recent interview on CNBC’s Power Lunch, Phong Le, CEO of Strategy Inc. (MSTR), addressed the backlash following the company’s first Bitcoin sale since 2022. Le emphasized that the sale was a calculated decision aimed at demonstrating operational flexibility, rather than a shift away from the company’s long-standing commitment to Bitcoin.

Between May 26 and May 31, Strategy sold 32 Bitcoin for approximately $2.5 million, averaging $77,135 per coin. While this transaction accounted for a mere 0.004% of the company’s total holdings, it sparked significant market reactions and reignited discussions about Michael Saylor’s famous “never sell” doctrine.

“We wanted to inoculate the market and we wanted to test our processes,” Le explained. He outlined three key reasons for the sale: to confirm that the company could execute Bitcoin disposals when necessary, to ensure internal systems were operational, and to create opportunities for tax loss harvesting on Bitcoin purchased at lower prices.

Le was quick to clarify that the sale was not a sign of financial distress. “We did not need to sell our Bitcoin to satisfy our dividends,” he stated, noting that the proceeds were directed toward distributions on the company’s STRC perpetual preferred stock. He also highlighted that Strategy remained a net buyer, having acquired approximately 1,500 Bitcoin during the same period.

Addressing concerns from investors who felt the company had strayed from its commitment to hold Bitcoin, Le acknowledged the frustration but remained unapologetic. “We have a set of constituents that we have to be able to answer to,” he said, referencing common stockholders, preferred shareholders, debt holders, and Bitcoin holders. He added that institutional shareholders, whom the company interacts with directly, did not seem perturbed by the sale.

This was not Strategy’s first foray into Bitcoin disposal. In December 2022, the company sold 704 BTC at $16,776 per coin, only to repurchase 810 BTC shortly after, a move aimed at tax-loss harvesting.

Le also discussed the broader macroeconomic landscape impacting Bitcoin, citing uncertainty around the Federal Reserve’s interest rate decisions, ongoing global conflicts, and a lack of regulatory clarity from Congress. Despite these challenges, he maintained a bullish outlook on Bitcoin, viewing it as a hedge against inflation and government overreach.

However, the market reaction has been less optimistic. As of June 10, Bitcoin was trading around $61,600, down over 40% from its all-time high of $126,198 in October 2025. The sell-off intensified following Strategy’s announcement, coinciding with record spot ETF outflows and significant forced liquidations.

Strategy’s shares have also taken a hit, trading between $117 and $127, down approximately 67% from their 52-week high of $457. In an effort to restore market confidence, the company resumed buying, acquiring 1,550 BTC at an average price of $65,332 between June 1 and June 7.

As of late May, Strategy Inc. held 845,256 Bitcoin, with a total cost basis of around $63.97 billion, signaling that while the company may adapt its strategies, its commitment to Bitcoin remains steadfast.