Andrew Kang
EVP & CFO at Strategy
Our attractive low cost basis reflects the benefit of starting our acquisitions over four and a half years ago, which makes us the most committed and consistent corporate holder of Bitcoin in the world. This slide highlights the increase in the value of our digital assets following adoption of FASB's fair value accounting standard on 01/01/2025. Under fair value accounting, as of January 1, we recorded a onetime adjustment of $17,900,000,000 of our Bitcoin balance sheet and an offsetting $5,100,000,000 deferred tax liability, which increased our total stockholders' equity by $12,700,000,000 As of June 30, the value of our total digital assets have grown to over $64,000,000,000 with a deferred tax liability of $5,900,000,000 With our current long term debt and added preferred equity, our total stockholders' equity stands at $47,500,000,000 The change in accounting to fair value now better reflects our Bitcoin market value, improves balance sheet transparency while driving significant growth in shareholder equity. At the end of Q1, under the new FASB fair value accounting rules and due to the change in the price of Bitcoin between January 1 and March 31, we reported a Q1 unrealized loss of $5,900,000,000 However, in Q2, we recognized a dramatic increase in the fair value of our Bitcoin holdings due to the increase of an additional $6,800,000,000 of Bitcoin to our balance sheet, along with the dramatic Bitcoin price increase between the first and last day of the quarter, which drove the $14,000,000,000 unrealized fair value gain for Q2.