Bitcoin Updates: Competitors Gain Momentum, Approach Remains Focused on Steady Expansion

Michael Saylor's

Inc. (NASDAQ:MSTR) reiterated its commitment to expanding organically rather than through mergers and acquisitions during its Q3 2025 earnings call, marking a shift in approach as the treasury landscape grows increasingly competitive. The company, which possesses the largest corporate Bitcoin stash at 640,808 coins, posted a net income of $2.8 billion for the quarter—a dramatic reversal from the $340 million loss reported in the same period a year prior, according to a . Saylor noted that while the company is not completely dismissing the possibility of M&A, it remains cautious due to the unpredictability and lengthy processes these deals often entail, as he explained in a .

The CEO’s remarks come amid a surge in companies adopting Bitcoin as part of their treasury strategy, eroding Strategy’s previously dominant position. For example, Hyperscale Data revealed its Bitcoin assets had climbed to $68.8 million, representing half its market cap, while ZOOZ Strategy purchased 94 bitcoins for about $10 million, bringing its total to 1,036 coins, according to

. Hyperscale’s announcement was also featured by , and at the same time, Metaplanet obtained a $500 million credit line backed by Bitcoin to support further acquisitions, as detailed in a article.

Saylor’s prudence is shaped by the sector’s unpredictability. “A plan that seems promising at the outset may no longer be viable six months down the line,” he remarked, referencing the typical six-to-twelve-month timelines for M&A transactions. This cautious stance stands in contrast to some analysts’ expectations that industry consolidation is unavoidable as companies race to expand their Bitcoin portfolios. Strategy’s treasury approach—acquiring BTC through equity offerings and reinvesting profits—has delivered strong returns, with the firm’s shares trading at 1.32 times its net asset value (mNAV) as of October 26, though this is down from a peak of 10.33 times in February, according to

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The company’s results highlight its dependence on Bitcoin’s price movements. With BTC around $107,833, Strategy’s Bitcoin holdings are now worth $73.2 billion, compared to their acquisition cost of $47.44 billion. This has allowed the company to sustain a “self-reinforcing cycle” of raising capital and reinvesting, though skeptics warn that the model’s viability relies on Bitcoin’s continued appreciation. S&P’s ‘B-’ junk rating for Strategy points to the risks of its heavy Bitcoin exposure and $8.2 billion in convertible debt, as noted in a

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Despite these headwinds, Strategy remains optimistic about its approach. Saylor reaffirmed the company’s dedication to acquiring more Bitcoin, strengthening its financial position, and clearly communicating its value proposition to shareholders. The firm also maintained its 2025 outlook, projecting $34 billion in operating income and $20 billion in Bitcoin-related gains. Yet, with competitors like Strive—recently bought by Semler Scientific—boosting their BTC reserves, the need for differentiation is increasing.

As the industry continues to change, Strategy’s ability to uphold its premium valuation will depend on how effectively it executes cost-efficient Bitcoin purchases and manages regulatory and market challenges. For now, Saylor’s priority is to perfect the core business model rather than seek growth through acquisitions.