Strategy to Post Multibillion-Dollar Loss on Bitcoin Slide (1)

Michael Saylor has long noted that Bitcoin’s volatility “is a feature, not a bug” when pitching his cryptocurrency accumulator Strategy Inc.

Investors will soon see the downside of that, with the company likely to report a multibillion-dollar loss when it releases results for the just-ended fourth quarter. That would be a swing from a $2.8 billion profit in the previous quarter, reflecting an unrealized loss tied to the falling value of the company’s roughly $60 billion Bitcoin stockpile.

“There was this one-time pop, but that is a different story in this quarter,” said Aaron Jacob, an associate professor ...