Strategy (MSTR), the Bitcoin treasury company founded by Michael Saylor, has updated its modified net asset value (mNAV) framework, raising the reported multiple from approximately 1.04x to 1.07x. The revision reflects a methodological change rather than an increase in the company's underlying Bitcoin holdings, and the net Bitcoin-per-share accretion threshold will remain fixed at 1.0x under the new framework. The mNAV metric compares MSTR's market valuation to the spot value of its Bitcoin reserves, serving as a key gauge for investors assessing whether the shares trade at a premium or discount to the company's crypto assets.

According to crypto investor Mark Harvey (X post), the updated methodology changes how Strategy accounts for securities senior to MSTR common stock when estimating the shares' value relative to the company's Bitcoin reserves.

Strategy CEO Phong Le (X post) said the revised framework brings several changes designed to improve how investors evaluate equity issuance. The updated approach accounts for all securities senior to MSTR, distinguishes between in-the-money (ITM) and out-of-the-money (OTM) convertible securities, and establishes a 1.0x mNAV threshold for accretive issuance of MSTR shares. The ITM/OTM distinction matters because convertible securities that are in the money effectively dilute existing shareholders, while those out of the money do not—an important factor for investors tracking Bitcoin-per-share ownership. Le added that the framework incorporates feedback from institutional and retail investors, analysts, and other Bitcoin treasury companies.

Under the company's at-the-market (ATM) equity program, Strategy issues shares at an mNAV above 1.00x to acquire additional Bitcoin or increase its U.S. dollar reserves, transactions the company says benefit MSTR stockholders.

Stock Performance and Bitcoin Comparison

After briefly moving above $100 last week, MSTR stock returned toward the $96 region. Over the past year, the share price has declined approximately 75%, while Bitcoin has fallen more than 50% from its all-time high of $125,000, indicating MSTR has underperformed BTC over that period.

Over a longer time horizon, however, Strategy (X post) reported that MSTR has delivered a 42% annualized rate of return (ARR) since adopting its Bitcoin treasury strategy. According to the company, this has exceeded Bitcoin's 32% ARR, the Magnificent Seven's 23%, and the S&P 500's 14% over the same period.

On Thursday, July 30th, Strategy will hold its Q2 earnings call to provide further details on its future plans. Investors will be watching for commentary on how the updated mNAV framework affects the company's capital-raising strategy, as well as any guidance on the pace of ATM equity issuance and Bitcoin acquisitions heading into the second half of the year.

Dilution Concerns and Analyst Outlook

In recent weeks, Strategy has diluted MSTR holdings and directed proceeds toward building its U.S. dollar reserves rather than making fresh Bitcoin purchases. The company uses these reserves to meet its financial obligations, which has raised concerns among some market participants.

Despite this, crypto analyst Adam Livingston (X post) said Strategy has the potential to become the world's most valuable company, citing that its ability to raise capital far exceeds its recurring obligations.

According to Livingston, Strategy currently owes approximately $4.8 million per day in dividend payments and interest on debt. In contrast, it has raised $121.7 million per trading day so far in 2026, a pace more than 25x its daily obligations. This figure does not include the value of its existing Bitcoin holdings and U.S. dollar reserves. Livingston added that Strategy currently holds approximately $53.7 billion worth of Bitcoin.