Bitcoin Holds Firm Above $60,000 Amid Growing Scrutiny of Strategy Inc's Funding Model

Bitcoin continued to trade above $60,000 on Saturday as investors weighed concerns over Strategy Inc's funding model and its impact on the broader cryptocurrency market.

The company's perpetual preferred shares will become ex-dividend on June 30, with a dividend rate reset expected to follow. This has raised questions about whether Strategy should temporarily slow its Bitcoin purchases and strengthen its cash position, given lower preferred share prices making it harder to raise fresh capital.

Ripple CEO Brad Garlinghouse criticized Strategy's funding model, describing it as 'financial engineering' rather than long-term value creation. He pointed to the company's decline in value below its par value of $100 as evidence that investor confidence has weakened.

Strategy has accumulated around 844,000 Bitcoin at an average price of approximately $75,600 per coin, resulting in unrealized losses exceeding $13 billion.