Strategy posts $14.46 billion in unrealized Bitcoin losses in Q1 2026; tax credits cushion the hit

Huo Xing Finance reports that Strategy's Form 8-K filed with the U.S. Securities and Exchange Commission shows the company booked about $14.46 billion in unrealized losses on its Bitcoin holdings in the first quarter of 2026. Tax-related accounting effects created roughly $2.42 billion in deferred tax assets, offsetting part of the paper loss. Strategy continued adding to its Bitcoin position in early April despite being underwater. The purchases were funded mainly through its ATM (at-the-market) equity offering program, a key component of the company's "42/42" financing plan that targets $84 billion of capital raised by 2027 to support ongoing Bitcoin accumulation.