Strategy (NASDAQ: MSTR) Launches Public Bitcoin Credit Model To Show Investors Exactly When Debt Coverage Fails

Michael Saylor’s Strategy (NASDAQ: MSTR) has unveiled a public dashboard that shows investors precisely how well its Bitcoin holdings cover its outstanding debt and preferred stock obligations.

Executive Chairman Michael Saylor announced the Bitcoin Credit Model on Aug. 12, offering a new layer of transparency into the balance sheet risks carried by the world’s largest corporate Bitcoin holder.

The tool breaks down Strategy’s liabilities instrument by instrument, borrowing the color-coded language of traditional bond ratings to classify each obligation as Investment Grade, High Yield, or Distressed.

The model runs on what Saylor calls a “10% BTC ARR reference case,” a baseline assumption that Bitcoin will return 10% annually over time.

It also tracks credit spreads and coverage ratios, showing investors how much Bitcoin backs each specific liability at any given price level.

At a Bitcoin price of around $64,000, the model values Strategy’s reserve at $53.85 billion, providing a real-time snapshot of the company’s collateral position.

Strategy held 843,775 BTC at the close of the second quarter, a position that sits against roughly $6.71 billion in convertible notes and several series of preferred stock.