In an interview with CNBC, Strategy CEO Phong Le stated that all of the company's bitcoin holdings are held in cold storage by a US custodian. Regarding the Binance security breach, he noted that it poses reputational risks for the broader crypto industry, though it does not constitute a material risk to Strategy's existing bitcoin custody arrangements, and the company must remain vigilant. He also mentioned that as cutting-edge AI models are utilized to test software and hosting systems, enterprises need to further strengthen their own software security defenses and closely monitor the security of their custodians.