Strategy suffered nearly $14.5 billion in unrealized losses on Bitcoin in the first quarter, with tax credits partially offsetting the losses.

According to Strategy's 8-K filing with the U.S. Securities and Exchange Commission, the company reported approximately $14.46 billion in unrealized losses on Bitcoin in the first quarter of 2026. However, related tax implications resulted in approximately $2.42 billion in deferred tax assets, partially offsetting the book losses. Despite the unrealized losses, Strategy chose to continue increasing its Bitcoin holdings in early April, primarily funded by its ATM (Auction-at-Market) equity financing plan, part of its "42/42" financing strategy, which aims to raise $84 billion by 2027 for continued Bitcoin accumulation. (The Block)