Today in crypto: Michael Saylor’s Strategy funded a new reserve from stock sales to cover at least 12 months of dividends and boosted its Bitcoin stash to 650,000 coins with fresh purchases, China vowed to crack down on stablecoins and a resurgence in crypto trading, and the Tether CEO hit back at S&P fear, uncertainty, and doubt.

Strategy sets up $1.4 billion cash reserve, lifts Bitcoin stash to 650,000 BTC

Strategy, the world’s largest public Bitcoin holder, is creating a $1.44 billion US dollar reserve to support dividend payments on its preferred stock and interest on its outstanding debt.

Strategy on Monday announced the establishment of a US dollar reserve funded through proceeds from the sale of Class A common stock under its at-the-market offering program.

“Strategy’s current intention is to maintain a USD Reserve in an amount sufficient to fund at least twelve months of its dividends, and Strategy intends to strengthen the USD Reserve over time, with the goal of ultimately covering 24 months or more of its dividends,” the company said.

Alongside the launch of the reserve, Strategy disclosed an additional purchase of 130 Bitcoin (BTC) for $11.7 million, bringing its total holdings to a symbolic value of 650,000 BTC, acquired for $48.38 billion.

According to the Strategy’s company update on Monday, its US dollar reserve will be the primary source of funding dividends paid to holders of its preferred stocks, debt and common equity.

The update details that the $1.44 billion reserve is 2.2% of Strategy’s enterprise value, 2.8% of equity value and 2.4% of Bitcoin value.

“We believe this improves the quality and attractiveness of our preferreds, debt and common equity,” Strategy said, adding that it raised $1.44 billion in less than nine trading days by selling its common A stock MSTR.

China reaffirms crypto ban after noticing “speculation has resurfaced”

The People’s Bank of China, the country’s central bank, said on Saturday that it will refresh its 2021 crypto crackdown, after claiming that “virtual currency speculation has resurfaced” and noting stablecoins as a particular concern.

“Virtual currencies do not have the same legal status as fiat currencies, lack legal tender status, and should not and cannot be used as currency in the market,” it said after a meeting with 12 other agencies. “Virtual currency-related business activities constitute illegal financial activities.”

The bank added that stablecoins were of particular concern as they can’t meet customer identification and Anti-Money Laundering requirements, “posing a risk of being used for illegal activities.”

The bank said it would “persistently crack down on illegal financial activities” related to crypto to “maintain the stability of the economic and financial order,” and the 13 agencies that attended the meeting said they would “deepen coordination and cooperation” in tracking down crypto users by strengthening information sharing and enhancing monitoring capabilities.

Tether CEO hits back at S&P fear, uncertainty, and doubt

Paolo Ardoino, the CEO of stablecoin company Tether — the issuer of the USDt (USDT) dollar-pegged token — issued a response to the fear, uncertainty, and doubt from crypto influencers and the S&P Global ratings agency about Tether and its dollar-pegged token.

The Tether Group’s total assets in Q3 2025 totaled about $215 billion, while total stablecoin liabilities accounted for about $184.5 billion, according to Ardoino. He also said:

“Tether had, at the end of Q3 2025, about $7 billion in excess equity, on top of the about $184.5 billion in stablecoin reserves, plus about another $23 billion in retained earnings as part of our Tether Group equity.”

The pushback occurred in response to S&P Global, one of the world’s top financial ratings agencies, downgrading USDt’s ability to maintain its peg to “weak,” the lowest rating on its scale.