Mike Novogratz Pushes Back On Strategy Forced-Seller Fears

Galaxy Digital CEO Mike Novogratz has pushed back against growing fears that Michael Saylor’s Strategy could be forced into selling Bitcoin or MSTR under near-term pressure.

In a clip shared by Pete Rizzo, Novogratz said the bearish claims against Saylor and Strategy were false and argued that the company is not “a forced seller” of Bitcoin or MSTR anytime soon. He also said Strategy has “plenty of cash” to cover dividends for years, framing the current panic as a misunderstanding of how the company’s capital structure works.

The comments landed after Strategy’s enterprise mNAV fell below 1, meaning the market valued the company’s enterprise value slightly below the value of its Bitcoin treasury. The sub-1 mNAV break sharpened debate around whether preferred-stock obligations, debt structure and weaker equity pricing could eventually pressure its Bitcoin position.

Novogratz’s defense does not remove the market stress around Strategy. It challenges the timing and severity of the forced-selling narrative. His argument is that Saylor can stop raising, stop buying, hold the treasury and wait rather than rush into a distressed sale.

Saylor Says Bitcoin Growth Covers Dividends

Saylor made a similar case during a Fox Business appearance focused on potential liquidation risk. In a reposted interview clip, he said, “As long as Bitcoin goes up 1.25% a year, we can pay the dividend forever.”

He also argued that even if Bitcoin stopped rising, Strategy would have decades to adjust its capital structure before the problem became urgent. That framing turns the dividend issue into a long-duration balance-sheet question rather than an immediate liquidity crisis.

Strategy holds 847,363 BTC at an average purchase price of $75,651. With Bitcoin recently trading near $60,007, the position remains below average cost, but the company still controls the largest public corporate Bitcoin treasury.

The company has already shown that selling a small amount of BTC is possible inside its financing model. Saylor’s clarification that Strategy can sell Bitcoin if needed changed the old “never sell” narrative without turning the company into a net seller.

Preferred Dividends Remain The Core Pressure Point

The pressure is concentrated in Strategy’s preferred-stock complex. STRC and related securities create recurring dividend obligations that must be funded through cash reserves, equity issuance, debt tools, operating cash flow or limited treasury management.

Strategy created a $1.44 billion USD reserve to support preferred dividends and debt interest. The reserve covered 21 months of obligations when it was announced, making it central to investor debate as Bitcoin weakness, preferred-stock repricing and MSTR pressure continue.

Novogratz’s comments therefore speak to the near-term panic, not the entire long-term risk stack. Strategy still depends on Bitcoin performance, investor appetite for its securities, preferred-share pricing, debt refinancing and confidence in Saylor’s treasury strategy.

MSTR recently traded near $82.31, while Bitcoin traded near $60,007. Strategy’s latest holdings stand at 847,363 BTC, with an average purchase price of $75,651 and total acquisition cost near $64.1 billion.

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