MSTR: Schiff Predicts Strategy's Bitcoin Yield Will Turn Negative

Peter Schiff argues that Strategy’s Bitcoin yield model is losing its edge, warning that it could turn negative this year.

Alex Dovbnya · 27 Jul 2026 · 4 min read

Wire content from U.Today

MSTR: Schiff Predicts Strategy’s Bitcoin Yield Will Turn Negative

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By
Alex Dovbnya

Mon, 27/07/2026 – 15:48

Peter Schiff argues that Strategy’s Bitcoin yield model is losing its edge, warning that it could turn negative this year.

MSTR: Schiff Predicts Strategy's Bitcoin Yield Will Turn Negative

Cover image via U.Today

“Extra corporate risk”
Strategy’s growing USD reserve

In a recent social media post, Bitcoin nemesis Peter Schiff predicted that Strategy’s Bitcoin yield will end up being negative this year.

This comes after the company’s stock surged by as much as 7% earlier this morning due to the company strengthening its dollar reserve.

“Extra corporate risk”

Strategy previously claimed that it could raise capital, purchase more Bitcoin, and increase the amount of BTC backing each share (Bitcoin yield). Shareholders were promised that they could increase their BTC exposure without actually buying more of the flagship cryptocurrency.

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However, as aptly noted by Schiff, the very mechanism that made Strategy attractive in the first place now shows signs of weakening.

Strategy’s growing USD reserve

Strategy owns a whopping 843,775 BTC, but its obligations are mostly dollar obligations. Hence, the company has created a dollar reserve, which acts as the company’s liquidity buffer.

Earlier today, Saylor announced that the company had increased the dollar reserve by $525 million to an impressive $3.75 billion. At the same time, it has not announced any new BTC purchases.