News
Public · Published
Strategy has announced a change in how they calculate mNAV. The new calculation measures if $MSTR trades at a premium to net $BTC per share in USD terms. Under the new calculation, mNAV is currently 1.00x.
Strategy announced that it will now calculate its modified Net Asset Value (mNAV) by comparing MicroStrategy's ($MSTR) share price to the net Bitcoin ($BTC) held per share in U.S. dollar terms, and the new mNAV is currently 1.00 times the share price.
Published:
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What happened
Strategy announced that it will now calculate its modified Net Asset Value (mNAV) by comparing MicroStrategy’s ($MSTR) share price to the net Bitcoin ($BTC) held per share in U.S. dollar terms, and the new mNAV is currently 1.00 times the share price.
Confirmed
Global impact / market context
Investors use mNAV to gauge whether $MSTR is priced above or below the value of its Bitcoin holdings; a 1.00x ratio suggests the market price matches the underlying Bitcoin value, influencing buying or selling decisions.
Analyst inference
The change aligns $MSTR’s valuation method with the price of Bitcoin, a volatile asset, so future share price movements will reflect Bitcoin price swings, potentially increasing share volatility and affecting related crypto‑linked equities.
Analyst inference
What to watch
- If Bitcoin’s price rises, $MSTR’s share price may trade at a premium to the new mNAV, indicating investor optimism and possibly driving higher demand for the stock. Analyst inference
- If Bitcoin’s price falls, $MSTR could trade at a discount to mNAV, prompting shareholders to consider selling or the company to adjust its capital allocation. Analyst inference
- Regulatory or accounting guidance on how crypto holdings are reported could affect the calculation of net BTC per share and thus the mNAV metric. Proposed
Affected assets
- BTC — Bitcoin