Strategy's net leverage nears zero as dollar liquidity reaches $6.69 billion

Strategy reduced its net leverage to almost zero after building $6.69 billion in dollar liquidity. Strategy calculates net leverage by subtracting dollar assets from about $6.75 billion in debt and dividing the remainder by its bitcoin reserve. The bitcoin reserve is currently valued at around $66 billion. Strategy's dollar reserve has grown to $5.1 billion. The reserve covers about four years of preferred-stock dividend payments. Strategy also established a $1.59 billion cash pool for more flexible use. Preferred-stock dividends require approximately $1.7 billion annually. Executive Chairman Michael Saylor said the cash supports bitcoin acquisitions, preferred dividends and interest, stock repurchases, convertible-debt repayments, and increases to the dollar reserve. STRC, Strategy's variable-rate perpetual preferred stock, has risen more than 35% from its June low. STRC is trading at $97.23, below its $100 par value. The recovery has been supported by bitcoin's rebound toward $80,000 and Strategy's ongoing STRC repurchases.