Grayscale Research Head Urges Strategy to Sell $3B in Bitcoin

Zach Pandl, head of research at Grayscale, has called on Strategy to sell at least $3 billion worth of Bitcoin. The move, he argues, would allow the company to close most of its cash obligations over the next two years and restore market trust in its capital structure.

According to Strategy's latest 8-K filing with the SEC, the company's dollar reserve increased by $300 million to $1.4 billion. Pandl notes that this amount covers only about 14 months of dividend payments on STRC preferred shares, given an annual obligation of roughly $1.2 billion.

The recommendation highlights growing concern over Strategy's leverage and its ability to sustain dividend payments without additional capital or asset sales.