Strategy Inc. (NASDAQ:MSTR) surged 33% in April, ending eight consecutive months of declines despite Peter Schiff calling STRC “the largest Ponzi in the world.”

Four Catalysts Drove The April Rally

Bitcoin (CRYPTO: BTC) jumped from $69,000 in early April to $78,000 today helped by reports of a possible U.S.-Iran ceasefire plan that could reopen the Strait of Hormuz. This set the stage for Strategy’s massive accumulation spree.

Strategy made four separate Bitcoin purchases in April totaling 56,235 BTC for approximately $4.1 billion. 

The monster purchase came April 13 to 19 when Strategy bought 34,164 BTC for $2.54 billion at an average of $74,395, its largest acquisition since November 2024. 

Total holdings reached 818,334 BTC worth around $65 billion, representing 3.88% of Bitcoin’s fixed 21 million supply. Strategy now holds more Bitcoin than BlackRock’s IBIT (NASDAQ:IBIT), the world’s largest Bitcoin ETF.

STRC Fueled The Buying Power

Strategy raised $3.3 billion in April through STRC, its perpetual preferred stock paying 11.5% yields. 

STRC grew from zero to $5 billion in seven months, faster than Apple’s iPhone and Google Ads.

CEO Phong Le described STRC as potentially “the fastest growing product in the history of the world.” The company funded purchases entirely through STRC preferred stock sales and common stock ATM offerings.

Schiff Called It The Largest Ponzi

Peter Schiff attacked Strategy on April 22, calling STRC “the largest Ponzi in the world” after the company claimed the security was “backed by Bitcoin.”

“Investors don’t want Bitcoin. They want the 11.5% yield,” Schiff posted. “Such returns are financed by a pure Ponzi scheme. Then STRC crashes to zero.”

Schiff also warned after the April 20 purchase that “This is really getting crazy. You can’t keep this up indefinitely. A collapse is inevitable. The bigger you build the pyramid, the bigger the losses when it does.”

The Supply Shock Thesis

CryptoQuant data showed Bitcoin reserves on exchanges falling steadily since 2023. 

Analyst Axel Adler Jr. highlighted a sharp reversal in exchange flows during March 2026, with a 30-day net inflow of roughly 94,000 BTC flipping into a peak outflow near 300,000 BTC.

Asset managers including BlackRock, Morgan Stanley, Charles Schwab, and Goldman Sachs expanded their Bitcoin exposure through ETFs and brokerage channels. Strategy, controlling close to 4% of Bitcoin’s total supply, behaves like a leveraged bet on Bitcoin scarcity.

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