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The new USD Cash reserve gives the company flexibility to purchase bitcoin, repurchase securities, or meet other corporate needs
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Strategy disclosed Monday the creation of a new cash reserve called USD Cash, which currently holds $1.59 billion and can be deployed to buy bitcoin, fund preferred-stock dividends and debt payments, repurchase securities, or cover other corporate expenses, the company said.
Strategy's existing reserve, now at $5.1 billion, is restricted to covering preferred-stock dividend obligations and interest on the company's outstanding debt; board approval is required before the funds can be directed anywhere else, the company said. The initial reserve was part of a capital management framework Strategy unveiled in June, according to Bloomberg.
