Bitcoin's New Debt Market Faces First Major Test

In June, public companies increased their Bitcoin holdings by nearly 9,000 BTC before some sales, with a net addition of about 7,300 BTC worth approximately $427 million at the end-of-month price. Notably, Michael Saylor's Strategy and Strive contributed the majority of these acquisitions, spending around $200 million each.

This activity took place amid Bitcoin's price fluctuations, which dipped below $60,000 from a peak near $126,000 in October 2025. The market's recent behavior was influenced by the issuance of preferred shares, such as Strategy's STRC and Strive's SATA, which are used to raise capital for Bitcoin purchases. These instruments traded close to their par value of $100 for some time, attracting investors seeking stable yields.

However, as Bitcoin's price declined, leverage built into these preferred shares led to margin calls and forced sales, causing their prices to fall below par. Despite this, the underlying dividends continued to be paid, and the market quickly recovered, with prices rebounding by early July. The resilience of these preferred shares indicates a level of confidence among investors, even amid volatility.

The report highlights that companies like Strategy hold significant Bitcoin reserves and have taken measures such as buybacks and dividend increases to stabilize their positions. The trading volume of these preferred shares reached record levels in June, reflecting strong investor interest.

Overall, the event demonstrates that while the digital credit market for Bitcoin is still in its early stages, it shows signs of robustness. The continued growth of this market could influence how corporations finance Bitcoin acquisitions in the future, although risks related to leverage and price swings remain present.