Delphi Digital has released a report indicating that the authorized issuance cap for Strategy's variable rate Series A perpetual preferred stock (STRC) is approximately $28.3 billion. According to Odaily, if this cap is reached without expansion, Strategy's rate of Bitcoin accumulation may slow down. Earlier this week, Strategy purchased 535 Bitcoins for $43 million, with most of the funds raised through the sale of Class A common stock, MSTR.
Currently, Strategy's market net asset value (mNAV) stands at 1.25 times. Researchers noted that when mNAV is low, Strategy uses STRC as the primary accumulation tool. If mNAV increases, the company might opt to acquire Bitcoin through MSTR sales. Strategy holds $2.25 billion in cash reserves, with the next significant cash obligation due in September 2027.