Institutional interest in Strategy surges in Q4 amid bitcoin boom, including $37 billion worth of MSTR options

As Michael Saylor's Strategy accelerated its bitcoin buying in the fourth quarter of 2024, institutional investment managers kept loading up on MSTR stock.

Institutional investment managers with at least $100 million in equity assets under management have recently filed their fourth-quarter 13F reports. Every quarter, institutional investment managers with at least $100 million in equity assets under management file 13F reports with the U.S. Securities and Exchange Commission.

The filings, which are required within 45 days of the end of each quarter (in this case, Feb. 14), provide a view of the manager's stock holdings. As such, 13Fs are a way to glimpse how the largest portfolios and some of the most influential money managers play the market, although it should be noted that 13Fs do not disclose short positions.

Strategy has about 1,400 institutional owners and shareholders holding about $34 billion worth of MSTR, according to Fintel data. Vanguard, the world's second-largest asset manager, sold about 1.5 million shares between the third and fourth quarters but is still MSTR's largest shareholder at 16.3 million shares. Capital International Investors owns 12.5 million MSTR shares, followed by BlackRock's 11.2 million shares.

Notably, institutions also hold nearly $37 billion worth of options in MSTR, more than doubling from the previous quarter, according to 13f.info. Susquehanna International Group owns put options on 16.8 million shares of MSTR. Citadel Advisors isn't far behind with put options on 13.6 million shares. Meanwhile, Jane Street holds the more bullish call option position of 13.6 million shares.

A put option is considered a bearish bet on stock, giving the shareholder the right to sell a specified amount at a predetermined price within a specified time frame. A call option is bullish, giving shareholders the right to buy. 

The company, formerly known as MicroStrategy, reported a fourth-quarter net loss of $670.8 million. With a recent accounting change allowing unrealized bitcoin gains to be recognized, analysts suggest MSTR could be on track for S&P 500 inclusion later this year. Its stock is up about 11% this year and 370% over the past 12 months. The company has a market cap of $87 billion, according to The Block's MSTR price data.

Strategy was known for its business intelligence software but recently embraced its standing as a bitcoin treasury company. It acquired nearly 258,320 BTC in 2024 and, at press time, holds 478,740 BTC worth over $46 billion. On Tuesday, Strategy announced a $2 billion convertible senior notes offering with 0% interest shortly after issuing a profitability warning due to a $1.79 billion impairment loss on its bitcoin holdings.

Elsewhere in the world of 13Fs, institutional interest in spot Ethereum ETFs surged, with overall ETH ETF ownership rising from 4.8% to 14.5%, while spot Bitcoin ETF ownership saw a slight decline from 22.3% to 21.5%.