Jiang Zhuoer, CEO of BTC.TOP, said the recent selloff fears are overstated, arguing that Strategy’s low debt burden and its preferred-share structure still give it room to continue buying Bitcoin.
Speaking on X, the operator of one of China’s largest mining pools rejected speculation that Strategy had been selling BTC to meet obligations, saying the firm is unlikely to meaningfully reduce its holdings despite recent market rumors.
The discussion was triggered after an on-chain analyst estimated that about 45,000 BTC—worth roughly $3 billion—moved out of a Fidelity custody wallet between May 28 and June 1. The analyst suggested Strategy may have been gradually selling at around $66,000 per coin. However, because the same wallet also contains Fidelity’s Bitcoin and Ethereum ETF assets, the attribution to Strategy remains unconfirmed and speculative.
In a Sunday post written in Mandarin, Jiang said the interpretation had gone too far.
He pointed to Strategy’s balance sheet strength, noting that debt accounts for only around 5% of assets and would still be just about 10% even if Bitcoin fell to $30,000 from roughly $62,900. In his view, this financial buffer makes it unlikely the company would abandon its long-standing “never sell Bitcoin” stance, which is central to its identity and investment thesis.
Jiang also addressed STRC, Strategy’s preferred shares that pay an 11.5% annual dividend paid monthly. He argued that selling older, lower-cost Bitcoin allows Strategy to realize accounting gains that can help fund dividends, while proceeds from new STRC issuance are used to buy more BTC.
As long as new purchases exceed any sales, he said, Strategy remains a net buyer. He added that allowing some Bitcoin sales could actually calm investor concerns, since STRC holders are mainly worried about dividend risk if the company refuses to sell BTC entirely.
Still, not all market participants agree. Some argue that a prolonged bear market could increase financial pressure and eventually force larger Bitcoin sales regardless of management’s intentions.
Bitcoin traded near $63,400 on Monday, according to CoinDesk data, down nearly 10% over the past week after reports of Strategy’s first Bitcoin sale since 2022.
