Strategy Estimates a $20.9 Billion Q3 Bitcoin Gain, Reversing Its Second-Quarter Loss

Strategy expects to book a $20.91 billion gain on its bitcoin for the third quarter, three months after it recorded a loss. The company disclosed the preliminary estimate in a Form 8-K on Monday, along with a small weekly bitcoin purchase and more buybacks of its STRC preferred stock.

For the second quarter, Strategy posted an $8.32 billion loss on digital assets. The carrying value of its bitcoin climbed to $70.82 billion at Sept. 30, from $49.67 billion at June 30.

"Strategy reports a $21 billion gain on digital assets in Q3 2026," Executive Chairman Michael Saylor wrote on X.

Tax Asset Reversed

At the end of June, Strategy's bitcoin was worth less than it had paid for it, leaving a $4.12 billion deferred tax asset offset by a valuation allowance. With the coins back above cost at Sept. 30, Strategy reversed the asset and released the allowance. Releasing it was worth a tax benefit of about $4.12 billion, which brought estimated deferred tax expense for the quarter down to $1.88 billion, from roughly $6.00 billion. KPMG, its auditor, has not audited or reviewed the figures.

334 BTC Last Week

Strategy bought 334 BTC for $28.7 million between Oct. 1 and Oct. 4, an average of $85,839 a coin including fees. It was the third weekly buy in a row and the smallest, after 950 BTC and 1,665 BTC in the prior two weeks.