Phong Le, chief executive of Strategy, said the company will have no financial problems unless the bitcoin price falls to around $8,000 to $10,000.

CoinPost, a blockchain media outlet, reported on Wednesday that Le set out the range in a BloombergTV interview as a defence line for the company’s financial stability.

“Only when bitcoin reaches around $8,000 to $10,000 will we review company risks stemming from debt,” he said. “Until then, I am not worried about the balance sheet.” He said the capital structure the company aims for is designed to endure a bear market and benefit in a bull market.

Strategy currently holds 840,000 bitcoin. Le said the company’s goal is not limited to holding bitcoin, but to continue outperforming bitcoin’s returns. He said that as long as Strategy’s market capitalisation exceeds the value of its bitcoin holdings, it means shareholders are assessing the company’s ability to manage bitcoin and generate returns above it.

Market attention is focused not only on the size of Strategy’s bitcoin holdings but also on its funding structure. The company recently built a $3 billion dollar reserve, which Le defined as a key tool supporting a recovery in preferred stock STRC. STRC is structured to supply funds for additional bitcoin purchases in exchange for offering a 13 percent annual dividend.

He then said he had learned in recent months that flexible access to dollar capital is very important, and set out a policy to keep expanding the reserve. This is seen as meaning that, alongside expanding bitcoin purchases, managing preferred stock liquidity has become another pillar of the company’s strategy.

Strategy also disclosed an outline of a “barbell strategy.” It uses the $3 billion dollar reserve as a base for liquidity and stability, and combines it with a $55 billion bitcoin reserve as asymmetric upside potential. The company said it was designed to avoid a vulnerable middle ground.

Markets are watching the mNAV indicator, which shows the relationship between Strategy’s share price and the value of its bitcoin holdings. The indicator fell below 1.0 times at the end of June and has recovered to 1.02 times. MSTR shares, however, are down about 38 percent since the start of the year and about 78 percent over the past 12 months. With weak shares and preferred stock instability overlapping, the company is trying to restore market confidence through a financial strategy that combines cash stockpiling with bitcoin holdings.

Le also said he spends about half of his work time on the existing software and artificial intelligence business, and the remainder on work related to the bitcoin ecosystem. He also stressed that a team with 25 years of experience operating listed companies, and with legal, financial and engineering capabilities, is creating operating discipline that differs from crypto-focused companies.

Looking ahead, key points to watch are how steadily STRC liquidity is maintained during a period of falling bitcoin prices, and whether expanding the dollar reserve leads to a recovery in the share price and mNAV.