Strategy Authorizes Up to $1.25B in BTC Sales for Dividends

1 day ago 1

David Christopher

Mon, June 29, 2026 astatine 12:21 PM CDT 1 min read

Strategy adopted a caller "Digital Credit Capital Framework" Monday that formally authorizes the institution to merchantability up to $1.25 cardinal of Bitcoin to money its preferred banal dividends and involvement payments.

What's the Scoop?

The USD Reserve: Strategy's currency reserve sits astatine astir $2.55 cardinal arsenic of June 28, earmarked solely for paying preferred dividends and indebtedness interest. Against astir $1.76 cardinal successful yearly dividend and involvement obligations, that's astir 17.4 months of coverage. Adding the imaginable $1.25 cardinal BTC income grows their sum to astir $3.80 billion, oregon astir 25.9 months. Additionally, a argumentation level of maintaining astatine slightest 12 months of sum was established.
The STRC Dividend Hike: Strategy is raising the dividend complaint connected its variable-rate STRC preferred banal to 12.00% effectual July 1, hoping to marque it much attractive. Going forward, the institution volition measure the complaint monthly based connected trading levels, marketplace yields, BTC terms and volatility, and reserve coverage.
Two Buyback Programs: Strategy established a $1.0 cardinal repurchase programme for its preferred securities (prioritizing STRC) and a abstracted $1.0 cardinal programme for MSTR communal stock. Buying backmost preferred shares astatine a discount to stated worth could trim aboriginal dividend obligations. Neither buyback volition beryllium funded from the USD Reserve, though some could beryllium funded done BTC sales.
Market Reaction: All of Strategy's publically traded assets (MSTR, STRC, and more) are up astir 12% connected the day, though STRC inactive has a ~17% spread to adjacent earlier trading backmost connected par.