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Michael Saylor’s Strategy sheds $6 billion in a day — again

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Michael Saylor's Strategy sheds $6 billion in a day -- again

On March 20, 2000, Strategy (formerly MicroStrategy) co-founder and then-CEO Michael Saylor lost $6 billion in one day — ​​more money than any public company executive had ever previously lost in a single day.

He — and Strategy shareholders — lost even more yesterday.

Strategy opened for trading yesterday at a 52-week low after missing out on a $33 billion profit. Somehow, things got even worse by dinnertime.

By 5pm, Saylor’s company admitted to losing $42.93 per share of MSTR in diluted earnings within the final three months of 2025. The stock also declined another 20% to below $102 — incinerating another $7 billion in market capitalization within 24 hours.

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Strategy stock chart from Thursday, February 5, 2025. Source: TradingView

With a share price of just $102, the company posted a $15.23 per share loss for the 2025 calendar year. 

$6 billion in more missed profit

The bad news continued. The foregone $33 billion profit that it had missed out on by Wednesday night had turned into a $39 billion missed profit just 24 hours later.

Strategy’s ex-general counsel Shao Wei-Ming sold another 3,000 shares of MSTR. The company posted an operating loss of $17.4 billion for Q4 2025 — 16.4x higher than Q4 of the prior year. 

Its net loss per common share on a diluted basis was $42.93, as mentioned above, which calculates to a year-over-year increase of 1,316% in the wrong direction.

Dilution of MSTR continues

Its capital-raising abilities showed continued reliance on common stock dilution — despite months of attempts by management to switch the mix toward preferred shares.

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From October 1, 2025 through February 1, 2026, the company’s at-the-market share sales relied on MSTR dilution for 79%: $7.8 billion compared to just $1.6 billion from preferreds.

Worse, revenues from product licenses from the company’s actual operating business, enterprise software sales, plummeted 48% from $15.2 million in Q4 2024 to less than $7.8 million in Q4 2025.

Revenue lines labeled Product Support and Other Services also declined, with only Subscription Services posting a year-over-year increase. General and Administrative costs also ticked higher.

Read more: Michael Saylor doesn’t believe BTC is digital money

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Dividend payments to preferred shareholders — which did not exist in 2024 — dragged another $381.3 million out of the company in 2025.

The company’s flagship series of preferred, Stretch, which is the top focus of the company’s “laser-eyed” devotion, closed trading yesterday 6.3% below its intended $100 price, despite paying an 11.25% dividend and running X ads to motivate demand.

The company’s bitcoin (BTC) yield, a measure of management’s ability to accrete BTC per share by operating a good business and avoiding MSTR dilution, has slowed to a crawl in 2026.

As of February 1, BTC yield for common shareholders is just 0.3% year-to-date, which compares with formerly impressive figures of 7.3% in 2022, 74.3% in 2023, and 22.8% in 2024.

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Crypto World

Lido DAO Mulls $20M LDO Buyback to Boost Token Price

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Lido DAO Mulls $20M LDO Buyback to Boost Token Price

Lido’s decentralized autonomous organization is considering a one-off $20 million buyback of its governance token to address so-called price dislocation, which is at “historically depressed levels” relative to Ether, according to the DAO. 

The proposal, submitted Friday, seeks permission to swap 10,000 Lido Staked Ether (stETH) tokens, currently worth $20 million from the DAO’s treasury for Lido DAO (LDO), arguing that LDO is undervalued.

“This is not a routine fluctuation. It represents one of the most significant dislocations between LDO’s market price and its underlying protocol fundamentals in the token’s history.”

A token buyback of this size could boost the price of the token, which has fallen roughly 96% from its all-time high. In November, a Lido DAO member pitched an automated buyback mechanism for LDO to improve the token’s price. However, that proposal hasn’t been implemented.

LDO’s change in price relative to ETH since 2024. Source: Lido DAO

Lido DAO pointed out that LDO is trading at a steep discount to Ether (ETH) at a ratio of 0.00016, roughly 63% below its two-year median.

This is despite the protocol holding the top spot of the Ethereum liquid staking market, with a 23.2% share of staked Ether, according to Dune Analytics data. The protocol’s dominance has even been flagged as a centralization risk to the network in previous years.

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Share of Ethereum network validators. Source: Dune Analytics

Related: Ethereum builders propose ‘economic zone’ to tackle L2 fragmentation 

LDO is currently trading at $0.30, down 95.9% from its $7.30 high set in August 2021, according to CoinGecko data. LDO’s $255 million market cap makes it the 141st largest token by value at the time of writing.

“That dislocation is not justified by a proportional deterioration in protocol performance,” Lido DAO said. 

Lido DAO proposes buying stETH in batches

Lido DAO proposed buying up to 10,000 stETH in smaller batches of 1,000 to buy LDO. 

Lido DAO said it would use limit orders or adopt a dollar-cost averaging strategy to avoid market volatility. 

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