bitcoin<\/a> to record losses on its holdings.<\/p>\nShares of the Michael Saylor-led company \u200cfell 1.5% in after-hours trading, extending heavy selling from earlier in the day. They are down nearly 30% this \u200cyear.<\/p>\n
In December, Strategy had slashed its 2025 earnings forecast, citing a weak run in bitcoin, and announced plans to create a reserve to support dividend payments. Its earlier estimate assumed bitcoin would hit $150,000 by the end of the year.<\/p>\n
Cryptocurrencies, led by bitcoin, enjoyed regulatory embrace and \u2060healthy institutional inflows through much of \u200c2025.<\/p>\n
However, the volatile sector has now struggled for months since a record crash last October sent bitcoin nearly halving from its October 6 \u200dpeak as leveraged positions were washed out. Bitcoin is currently trading at $63,140.<\/p>\n
Strategy logged a loss of $12.4 billion, or $42.93 per share, for the three months ended December 31, compared with a loss of $670.8 million, or $3.03 \u200bper share, in the fourth quarter of 2024.<\/p>\n
It held 713,502 bitcoins as of February \u200c1, at a total cost of $54.26 billion, or $76,052 per bitcoin.<\/p>\n
Still, Saylor, who serves as Strategy’s executive chairman, expressed confidence in regulatory tailwinds and corporate adoption of cryptocurrencies.<\/p>\n
“The actions by big finance, the actions by the big banks and the actions by the financial regulators are the fundamentals,” Saylor told investors on the post-earnings call.<\/p>\n
U.S. spot bitcoin ETFs witnessed outflows of \u2060about $2 billion in December and $7 billion in November, \u200bDeutsche Bank analysts said in a note to clients.<\/p>\n
Selling \u200bpressure intensified after Trump nominated Kevin Warsh as the next Federal Reserve chair, which analysts have said could lead to a smaller Fed balance sheet \u2014 \u200da negative for risk \u2060assets like cryptocurrencies.<\/p>\n
“It’s above our pay grade to set financial policy. It’s even above our pay grade to interpret the financial policy,” Saylor said, when asked about \u2060Warsh’s nomination.<\/p>\n
Shares of the company fell about 47.5% in 2025, while bitcoin prices fell 6.4%, reflecting the leveraged \u200cexposure the stock provides to the cryptocurrency.<\/p>\n
(Reporting by Ateev Bhandari in Bengaluru; \u200cEditing by Krishna Chandra Eluri and Alan Barona)<\/p>\n","protected":false},"excerpt":{"rendered":"By Ateev Bhandari Feb 5 (Reuters) – Strategy reported a wider fourth-quarter loss on Thursday, as a turbulent…\n","protected":false},"author":2,"featured_media":452049,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[28,68439,45588,8620,211918],"class_list":["post-452048","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-digital-assets","tag-kevin-warsh","tag-strategy","tag-turbulent-period"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/452048","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=452048"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/452048\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/452049"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=452048"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=452048"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=452048"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}