- Strategy's enterprise mNAV briefly fell below 1.
- Investors valued the company below its bitcoin holdings.
- Preferred shares continue facing selling pressure.
- Other bitcoin treasury firms face similar challenges.
Strategy briefly lost the premium investors have historically assigned to its bitcoin treasury after its enterprise mNAV dropped below 1 for the first time.
Enterprise mNAV compares the company's total value—including debt, preferred shares, and cash—to the value of its bitcoin holdings. A reading below 1 means the market values the business at less than the bitcoin it owns.
The decline comes after Strategy relied heavily on issuing preferred shares to finance additional bitcoin purchases throughout 2026. Those securities now carry approximately $1.2 billion in annual dividend obligations while the company's cash reserves have fallen to around $1.4 billion.
Strategy's preferred shares also came under pressure, falling well below their intended $100 value before recovering slightly.
The trend extends beyond Strategy. Bitcoin treasury companies including Metaplanet and Nakamoto are also trading below an enterprise mNAV of 1, suggesting investors are becoming more cautious toward firms using debt and preferred shares to accumulate bitcoin.
Strive remains one of the few major bitcoin treasury companies still trading above parity.
