Arca CIO Jeff Dorman Says Strategy's Bitcoin-Focused Financing Is Riskier as Prefs Grow

Arca CIO Jeff Dorman said Strategy's Bitcoin-heavy balance sheet has moved into a riskier phase as preferred equity obligations and cash decisions collide with its BTC exposure. On May 28, he argued the firm's roughly $15 billion in preferreds and about $1.5 billion in annual dividends could create pressure to sell Bitcoin if markets weaken, even after a $2 billion cash raise. BTC was trading at $73,408 at press time.