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

As Bitcoin continues to capture the world’s attention, an increasing number of U.S. states are quietly making big moves to tap into its potential. The key player in this growing trend? Strategy, a business intelligence company once known as microstrategy microstrategy - Business Intelligence , which holds the world’s largest corporate stash of Bitcoin.

But what makes this story even more fascinating is how states are using Strategy as a gateway to Bitcoin exposure, without actually buying the cryptocurrency.

As revealed by Julian Fahrer, by the end of 2024, 12 states will have invested over $330 million in Strategy’s stock, and the story behind it is one worth diving into.

California Leads the Charge with Major Investments

California is the biggest investor in Strategy, with its State Teachers Retirement System (CalSTRS) owning 285,785 shares worth around $83 million. Other state funds in California, including the California Public Employees’ Retirement System (CalPERS), also hold significant positions in Strategy, with CalPERS owning 264,713 shares valued at $76 million.

These funds are drawn to Strategy because its business model revolves around acquiring Bitcoin, making it a popular choice for states seeking to tap into Bitcoin’s growth.

Strategy’s focus on Bitcoin makes its stock an appealing option for states that want exposure to the cryptocurrency market. With Bitcoin’s long-term potential, investing in Strategy allows these states to indirectly benefit from Bitcoin’s rise.

International Investors Join the Strategy Trend

It’s not just U.S. states investing in Strategy. Julian Fahrer notes that public funds from around the world have also taken significant stakes in the company.

For example, Healthcare of Ontario Pension Plan in Canada holds $15 million in Strategy stock, while South Korea’s National Pension Service has invested $63 million.

Strategy’s Massive Bitcoin Holdings

What sets Strategy apart from other tech companies is its massive Bitcoin treasure trove. As of February 2025, the company owns 478,740 Bitcoins, worth an estimated $46 billion. Recently, the company added 7,633 more Bitcoins to its portfolio, at a cost of about $742 million.

This strategy of acquiring Bitcoin has been highly profitable, with Strategy’s stock rising 16.5% in early 2025 and a stunning 383% over the past year – significantly outpacing the broader cryptocurrency market.

Risks of Bitcoin Investments

Despite its success, Strategy has faced challenges. In its Q4 2024 earnings report, the company revealed a $670.8 million loss, mostly due to a $1 billion impairment charge on its Bitcoin holdings. This shows the risks of holding such a large amount of a volatile asset like Bitcoin. However, Strategy remains confident in its long-term Bitcoin strategy, which is central to its future growth.

Looking ahead, Strategy plans to continue growing its Bitcoin holdings with its “21/21 Plan”, which aims to raise $42 billion over the next three years to buy more Bitcoin.

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A Look at West Virginia’s Strategy

Meanwhile, some states are taking steps to invest in digital assets. West Virginia Senator Chris Rose has introduced the Inflation Protection Act of 2025, which would allow the state treasury to invest in digital assets like cryptocurrencies and precious metals.

This effort is part of a larger trend, with 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 setting up a group to explore a federal digital asset reserve. Other states like Utah and Kentucky are also exploring ways to invest in digital assets.

It seems like Strategy’s Bitcoin strategy could become a blueprint for others to follow in the years ahead.