Grayscale Pushes Back on JPMorgan Over Strategy's Bitcoin Sales

Strategy, the world's largest institutional Bitcoin holder, has continued trimming its BTC position. After an initial sale of 32 BTC, the company disclosed another sale yesterday, offloading 3,588 BTC valued at about $216 million. Bitcoin briefly slipped below $62,000 following the announcement, but Grayscale argues the market impact is constructive. Grayscale analysts said the sale lowers Strategy's financing risk and supports price stability. In Grayscale's view, a broader wave of selling can help rebuild confidence in Bitcoin and lay a firmer price floor. Grayscale estimates the roughly $216 million sale increased Strategy's U.S. dollar assets, leaving enough cash to cover about 17 months of dividend payments. Zach Pandl, Head of Grayscale Research, said Strategy's balance sheet remains healthy: the firm holds about $52 billion in Bitcoin, carries roughly $7 billion of debt, and has sufficient resources to meet debt and dividend obligations. Pandl added that annual preferred stock dividend requirements are below $2 billion. Pandl and other Grayscale analysts said investor sentiment improved because Strategy formalized its selling plan with a June announcement. They noted the company had previously denied reports that it was selling Bitcoin, before later reassuring the market with the funding plan outlined in June. Grayscale's assessment contrasts with JPMorgan's stance. The bank recently warned that Strategy acting as both a buyer and seller of Bitcoin could add uncertainty, and suggested building larger cash buffers through equity financing instead of relying on BTC sales. This is not investment advice.