Glossary · C
Coverage bridge
A step-by-step calculation, used in Strategy's investor materials, that shows how the bitcoin reserve compares with the claims ranking at or above a given security, net of USD assets. It produces that security's coverage multiple.
Revised 22 October 2026 · The issuer's own metric, coined by Strategy Inc. · Suggest a correction
A coverage bridge is the issuer's own presentation. It walks from Strategy's balance sheet to a single coverage figure for one security. Strategy's briefings set it out as:
coverage = BTC Reserve ÷ (debt − USD Assets + notional of every preferred series ranking at or above the security)
The result is the same idea as Strategy's BTC Rating. Dividing the bitcoin price by the coverage gives a "BTC Floor Price", the bitcoin price at which coverage would equal 1.0x.
Worked example: STRC (August 2026)
From Strategy's STRC briefing (FWP, 24 August 2026), using bitcoin holdings and USD Assets as of 23 August 2026 and a bitcoin price of $77,004:
| Step | Amount |
|---|---|
| Debt | $6.714bn |
| less USD Assets (USD Reserve + USD Cash) | −$6.69bn |
| plus STRF (senior to STRC) | +$1.284bn |
| plus STRC | +$9.972bn |
| Covered claims | $11.28bn |
| BTC Reserve | $64.718bn |
| Coverage | 5.74x |
| BTC Floor Price ($77,004 ÷ 5.74) | about $13,400 |
The same document gives 4.76x for STRK, whose covered claims also include STRC and STRE. More junior series always show lower coverage because more claims rank ahead of them (see seniority).
Limits Strategy itself states
Strategy describes these as "illustrative economic coverage" measures, "not legal collateralization, solvency tests, recovery estimates". The preferreds are not secured on the bitcoin. The calculation ignores costs and timing of selling bitcoin, and Strategy notes that the BTC Rating does not account for cross-defaults. The figures change with the bitcoin price every day.
21DC's own coverage bridges on issuer pages use the same layout, rebuilt from each filed snapshot with the as-of date shown.
What to check in the filing
- Which claims are included above the security
- Bitcoin price and holdings date
- Whether USD Assets are netted against debt