Shares MicroStrategyThe stock plummeted 17.8% on Friday after U.S. Securities and Exchange Commission reported that the U.S. Securities and Exchange Commission had rejected the company’s proposed bitcoin accounting strategy.

The business-intelligence software company’s stock had been falling in tandem with the price of bitcoinWhich? dropped more than 10% FridayIts lowest level since August. MicroStrategy shares fell 24.7% this week.

SEC filed a statement Thursday denying MicroStrategy’s use of the bitcoin accounting method in earnings reporting.

According to the filing, “We take note of your previous comment 5” and we object to any adjustment for bitcoin impairment costs in your non GAAP measures. Please revise your filing to eliminate this adjustment.

MicroStrategy bought bitcoins as part its capital allocation strategy back in 2020. This set it apart among other companies. MicroStrategy has been actively buying bitcoin since then. Its shares are a proxy of cryptocurrency.

MicroStrategy owned 124 391 bitcoins at the close of 2021. They were purchased for approximately $3.75B at an average of $30,159 each bitcoin. CEO Michael Saylor announced on Twitter at the time.