Crypto Market Update: Strategy Outlines Rules for Selling Bitcoin Reserves

Bitcoin price update

Bitcoin (BTC) was priced at US$60,396.02, up by 1.7 percent over the past 24 hours.

According to the latest Bitfinex Alpha market report, Bitcoin's downturn has been primarily driven by a structural exodus in the spot market, fueled by persistent exchange-traded fund outflows and reduced capital inflows, rather than typical liquidation events. While Bitcoin may find technical support at US$53,400, analysts note that historical patterns suggest a potential dip into the US$40,000s before a sustained recovery occurs.

Ether (ETH) was priced at US$,1624.08, trading 3.9 percent higher over the last 24 hours.

Altcoin price update

• XRP (XRP) was priced at US$1.07, trading 2.7 percent higher over the past 24 hours.

• Solana (SOL) was trading at US$75.92, 7.8 percent higher over the past 24 hours.

Today's crypto news to know

Here's a breakdown of today’s biggest news in the crypto and blockchain markets, including:

• Strategy announces capital framework, US$2 billion buyback program
• Tether, Ledn partner to introduce gold-backed crypto loans
• Ukraine transfers US$8.3 million in seized crypto to state management
• Breez updates developer toolkit to include 30+ blockchains

Strategy announces capital framework, US$2 billion buyback program

Strategy (NASDAQ:MSTR) has authorized a new US$2 billion stock buyback program alongside a fresh digital credit capital framework to attract investors and reinforce its under-pressure preferred stock.

The company's board approved up to US$1 billion in repurchases of its digital credit securities and another US$1 billion for its Class A common stock under an open-ended program with no expiration date.

Further, the newly unveiled framework includes a Bitcoin monetization program that allows management to sell up to US$1.25 billion of its Bitcoin holdings when deemed advantageous.

Proceeds from these digital asset sales will be used to build or replenish the company's cash reserves, fund preferred stock dividends, cover interest payments and finance the stock buybacks.

Executive Chair Michael Saylor clarified that while the firm remains fully committed to Bitcoin as its primary treasury reserve, its digital credit products require active capital management, discipline and liquidity. If the firm executes the maximum US$1.25 billion Bitcoin sale, its cash runway would expand to cover about 26 months of dividend costs.

"Strategy's Digital Credit Capital Framework is a smart piece of liability management, but it comes with an uncomfortable subtext," said Lacie Zhang, a research analyst at Bitget Wallet.

"Bitcoin is currently trading around US$59,800, roughly US$16,000 below Strategy's average acquisition cost of US$75,646. Any Bitcoin sold under this program locks in realized losses, which is a meaningful shift from the company's long-held ‘accumulate and never sell’ posture," she added.

Zhang continued:

"That said, the market reaction tells you something: MSTR shares rose in pre-market trading because this move addresses a real vulnerability. Analysts had flagged that Strategy's cash reserve had shrunk to cover just 14 months of preferred dividend costs. With ~US$904 million in annual obligations against only ~US$150 million in software operating cash flow, the funding gap is structural, not temporary. Rebuilding reserves to US$2.55 billion and extending runway to 26 months buys time and restores credibility with preferred shareholders, particularly STRC holders who've watched the security trade 25 percent below its US$100 par value.

"The framework is ultimately a signal that Strategy is managing Bitcoin as a treasury asset with real liquidity discipline, not just an ideological position. Whether that's good or bad depends on where Bitcoin goes next, which has always been the only question that matters here.”

Tether, Ledn partner to introduce gold-backed crypto loans

Tether has finalized a strategic partnership with cryptocurrency lending platform Ledn to roll out yield-free loans backed entirely by Tether Gold (XAUT). The initiative allows XAUT holders to use their tokenized gold assets as productive collateral to borrow funds rather than being forced to liquidate their holdings in the open market.

Under the agreement, users can deposit their XAUT tokens to secure loans, while Ledn manages risk by continuously evaluating loan-to-value ratios and using the same strict custody framework applied to its Bitcoin-backed loans.

Alongside the credit launch, Ledn has expanded its platform capabilities to let users seamlessly hold, trade, swap, receive and repay loans using Bitcoin, Tether Gold, USDT and USA₮ directly on its platform.

XAUT is backed 1:1 by a troy ounce of physical London Good Delivery gold safely stored inside Swiss vaults.

According to recent figures, Tether has issued over 8 million XAUT tokens and controls nearly 140 metric tons of physical gold worth roughly US$23 billion, making it one of the largest non-sovereign gold holders globally.

Ukraine transfers US$8.3 million in seized crypto to state management

Ukraine has taken seized cryptocurrencies into direct state custody for the first time, moving over US$8.3 million in the stablecoin USDT into a digital wallet controlled by its asset recovery agency, ARMA.

The Prosecutor General's Office confirmed the historic transfer via Telegram, marking the first time digital assets have been shifted to state management following a 2025 transparency overhaul of the agency.

The recovered USDT was tracked to wallets belonging to an international hacking ring accused of launching major cyberattacks across Europe and the US to steal confidential data and demand steep ransoms.

Criminal entities then allegedly laundered the illicit cyber proceeds within Ukraine by purchasing luxury assets, including real estate, high-value cars and other premium property.

While the total estimated damages from the hacking group's operations exceed US$100 million, Ukrainian authorities have successfully detained four individuals, including the organizer, and seized over US$11.1 million in combined assets.

Breez updates developer toolkit to include 30+ blockchains

Breez, a provider of infrastructure-free tools for Bitcoin payment integration, has revealed an update to its developer toolkit. The enhancement enables applications to facilitate the transfer of stablecoins, such as USDT and USDC, directly from a Bitcoin balance across more than 30 different blockchains. This functionality allows for stablecoin transactions without requiring users to previously purchase or maintain holdings of those specific assets.