Bitcoin Firm Strategy Buys Back $1.5 Billion of Its Own Debt to Reduce Borrowing.

The bitcoin focused company Strategy said on Friday that it plans to buy back $1.5 billion of its convertible notes, which are a type of debt that can turn into stock. These notes were set to mature in 2029. By doing this, the company will retire about half of that entire debt batch.

According to a filing with the U.S. SEC, Strategy made private deals with some of its note holders on Thursday. It agreed to pay them around $1.38 billion to take back the debt. The deal is expected to close next Tuesday, though the final amount could change depending on market conditions.

Strategy said it will pay for the buyback using cash it has on hand, money from selling other securities, or even by selling some of its bitcoin.

This move follows comments from Strategy’s co-founder Michael Saylor in May 2026, when he hinted the company might sell some bitcoin to pay dividends. Earlier in February, he also said Strategy wants to turn its debt into stock over time.

The company plans to spend the next 3–6 years swapping its convertible debt for company shares. That will lower its debt load but could also reduce the value of existing shares by adding more of them to the market.

Right now, Strategy has about $8.2 billion in total debt. In 2026, it has mostly used a special kind of preferred stock (STRC) to buy bitcoin. On Thursday, STRC hit a record $1.5 billion in daily trading volume, showing strong investor interest.

Most recently, on Monday, Strategy bought 535 bitcoin for $43 million. It now holds 818,869 bitcoin, worth roughly $64 billion at current prices.