12 U.S. States Invest $330 Million in Strategy Stock for Bitcoin Exposure

A growing number of U.S. states are now investing in Strategy, a business intelligence company once known as microstrategy microstrategy – Business Intelligence which is the world’s largest corporate holder of Bitcoin. According to the Bitcoin analyst Julian Fahrer by the end of 2024, 12 states have reported owning a total of $330 million in Strategy stock. This includes major pension funds in California, Florida, Wisconsin, and North Carolina. These investments are helping states indirectly gain exposure to Bitcoin, as Strategy’s massive Bitcoin holdings make it a proxy for investing in the cryptocurrency.

California Leads with Largest Bitcoin-Backed Holdings

California is the largest state investor in Strategy, with its State Teachers Retirement System (CalSTRS) holding 285,785 shares worth around $83 million. Other California state funds, such as the California Public Employees’ Retirement System (CalPERS), also have significant investments in Strategy. CalPERS holds 264,713 shares, valued at $76 million. 

These funds have become heavily involved with Strategy as the company’s business model focuses on Bitcoin acquisition, making its stock a popular choice for states looking to capitalize on the cryptocurrency’s long-term potential.

Julian Fahrer also noted that international public funds are also holding significant amounts of Strategy’s stock. These include the Healthcare of Ontario Pension Plan in Canada, with $15 million in MSTR, and South Korea’s National Pension Service, holding $63 million.

Strategy’s Bitcoin Playbook and Recent Gains

Strategy is not just an ordinary tech company—it has a massive Bitcoin treasury. As of February 2025, it holds 478,740 Bitcoins, worth an estimated $46 billion. Recently, the company acquired 7,633 additional Bitcoins, which cost around $742 million. This strategy of accumulating Bitcoin has proven profitable for the company, with its stock gaining 16.5% in early 2025 and a massive 383% over the past year, far outperforming the broader crypto market.

A Risky but Rewarding Bet on Bitcoin

Despite its success, Strategy has also faced challenges. In its Q4 2024 earnings report, the company revealed a $670.8 million loss due to a $1 billion impairment charge on its Bitcoin holdings. These losses highlight the risks associated with such a large investment in a volatile asset like Bitcoin. However, Strategy remains confident in its long-term Bitcoin strategy, which is central to its corporate vision. The company is also pushing forward with its “21/21 plan,” aiming to raise $42 billion over the next three years to further expand its Bitcoin investments.

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Why States Are Investing in Strategy

For many states, investing in Strategy allows states to gain Bitcoin exposure indirectly, offering a potential way to benefit from Bitcoin’s rise without directly buying the cryptocurrency. 

Looking at the increasing Bitcoin potential, West Virginia Senator Chris Rose recently introduced the Inflation Protection Act of 2025, which would allow the state treasury to invest in digital assets like crypto and precious metals. This move follows a trend sparked by U.S. President Donald Trump Donald Trump Donald Trump is an American former president politician, businessman, and media personality, who served as the 45th president of the U.S. between 2017 to 2021. Trump earned a Bachelor of science in economics from the University of Pennsylvania in 1968. Trump won the 2016 presidential election as the Republican Party nominee against Democratic Party nominee Hillary Clinton while losing the popular vote. As president, Trump ordered a travel ban on citizens from several Muslim-majority countries, diverted military funding toward building a wall on the U.S.–Mexico border, and implemented a family separation policy. Trump has remained a prominent figure in the Republican Party and is considered a likely candidate for the 2024 presidential election President who set up a group to explore a federal digital asset reserve. States like Utah and Kentucky are also making strides in this direction.