Peter Schiff Says Strategy’s Bitcoin Math No Longer Adds Up

Peter Schiff has renewed his attack on Strategy’s Bitcoin buying plan, saying the company’s model no longer works the way it did when MSTR traded at a large premium to its Bitcoin holdings. 

The Euro Pacific Capital chief argued that earlier stock sales helped raise Bitcoin per share because investors paid above net asset value.

“Past sales were done at a premium. Current sales are done at a discount,” Schiff wrote. 

He claimed that selling discounted MSTR stock to fund new Bitcoin purchases can dilute holders and lower Bitcoin per share, even when the company adds more BTC.

Strategy adds more Bitcoin after disputed sale

The criticism followed Strategy’s purchase of 1,550 BTC for about $101 million in early June. Schiff claimed that the buy left shareholders worse off because the company issued more equity than the new Bitcoin added to its per-share exposure. He also called the result a “negative Bitcoin yield.”

Strategy has continued to buy Bitcoin since then. On June 15, Michael Saylor said the company bought another 1,587 BTC for about $100 million, lifting its Bitcoin reserve to 846,842 BTC. The company also raised its dollar reserve to $1.1 billion, adding more cash while keeping its Bitcoin accumulation plan active.

STRC dividend pressure stays in focus

The debate also centers on STRC, Strategy’s preferred stock. Schiff has argued that the dividend burden could become harder to manage if preferred shares trade below their intended level. In that case, the company may need to offer higher payments, sell more shares, or use cash reserves to support payouts.

As crypto.news previously reported, Strategy sold 32 BTC between May 26 and May 31, raising about $2.5 million at an average price of $77,135. Company CEO Phong Le later said the sale was a test of internal systems, not a move to fund dividends. The small sale still drew attention because Strategy built its public image around holding and adding Bitcoin.

Dormant whale transfer adds market context

The market backdrop also changed after a long-dormant Bitcoin holder moved 2,373 BTC. CryptoQuant analyst Maartun said the coins had remained inactive for roughly five to seven years. At Bitcoin’s recent price near $66,000, the transfer was worth about $156 million.

A whale transfer does not prove a sale. Long-term holders may move coins for custody changes, wallet upgrades, estate planning, or profit-taking. Analysts usually watch whether such coins flow to exchanges before treating the movement as possible sell pressure.

Bitcoin has rebounded above the mid-$60,000 area after a sharp pullback earlier in June. The price move has kept Strategy, miners, ETFs, and older whale wallets in focus as traders look for signs of renewed demand or fresh selling.