#MicroStrategy Loosens Stock Rules A New Breath for the Bitcoin Strategy

As we enter the final quarter of 2025, MicroStrategy’s recent changes to its capital policies have caught the attention of both institutional investors and the crypto world. The company’s founder and chairman, Michael Saylor, has softened his long-standing stance against stock dilution, opening a new door to finance further Bitcoin purchases.

New Rule: More Flexible, More Aggressive

Previously, MicroStrategy would only issue new shares when the ratio between its market value and Bitcoin reserves (mNAV) exceeded 2.5x. That threshold has now been removed. Even with the mNAV ratio dropping to 1.6x, the company proceeded to purchase $51 million worth of Bitcoin and issued new MSTR shares.

This decision gives the company greater flexibility to sustain its Bitcoin strategy. Management describes the move as “preserving liquidity while seizing opportunities.”

Stock Under Pressure

MicroStrategy’s stock (MSTR) has been stuck around the $360 level for the past four months, and technical analysis suggests a “head-and-shoulders” formation is developing. This pattern has led to expectations of a potential decline among investors. The stock’s undervaluation compared to the company’s Bitcoin reserves was one of the key factors behind the decision to issue more shares.

Perpetual Securities and a New Financing Model

MicroStrategy is also diversifying its financing strategy through perpetual securities—a form of debt with no maturity date. This model allows the company to increase its Bitcoin holdings without affecting operational liquidity. The new capital architecture includes both share issuance and alternative debt instruments.

- What Do Investors Think?

While some investors view this flexibility as a positive development, others are concerned about the risk of dilution. Especially since Michael Saylor had publicly stated in July that “there will be no dilution,” this reversal has sparked criticism among loyal shareholders.

The Vision Behind the Strategy
MicroStrategy’s Bitcoin strategy sets it apart from traditional tech companies. The company holds over 226,000 BTC on its balance sheet, with a total value exceeding $13 billion. The new stock issuance rules are seen as a tool to sustain this strategy.

This evolution positions MicroStrategy not just as a software company, but as a financial actor playing with digital reserves. It’s a transformation that’s rewriting the rules of capital management in the crypto era.