Crypto Treasury Firms Build Bitcoin Exposure Around Strategy’s STRC Stock

Strategy Inc. has used common and preferred share sales to finance its bitcoin treasury, making Stretch, or STRC, a central part of its capital-raising model. The variable-rate perpetual preferred stock pays a 12% annualized dividend and is designed to trade near its $100 stated value. Its performance matters because a return toward par would bolster investor confidence, lower Strategy’s funding constraints and strengthen its ability to meet preferred-stock distributions while maintaining long-term bitcoin exposure.

By Aug. 5, 2026, STRC had climbed more than 30% from a late-June low near $71 to about $94, as bitcoin stabilized above $60,000. Strategy sold 5,226 bitcoin for $321 million in three transactions, reducing its holdings to roughly 842,137 coins, and added $250 million to its U.S. dollar reserve, lifting the total to $4 billion and dividend coverage to about 2.3 years. The company has also repurchased $106 million of STRC and identified Sept. 8 as a possible, though uncertain, date for a return to $100 par.

Strategy launched STRC, a floating-rate perpetual preferred stock, in July 2025 with a par value of $100 to raise funds for expanding its Bitcoin holdings. Its dividend rate is adjusted monthly to keep the market price close to par. Although STRC ranks ahead of common stock for repayment, it remains exposed to risks tied to Strategy’s Bitcoin holdings, financing and dividend coverage. Its sharp discount to par is now testing its positioning as a stable income investment.

STRC closed at $91.79 on June 16, 2026, an 8.2% discount to its $100 par value and its third-lowest close since listing in July 2025, implying an annualized yield of 12.53%. Bitcoin was trading at about $65,000 at the time. After Strategy repaid $1.5 billion of convertible debt, its cash dividend coverage fell from 24 months to seven months. The same day, Strive’s SATA began paying daily dividends at a 13% annual rate while trading at $99.99, further drawing income-focused capital away from STRC.

Strategy, formerly known as MicroStrategy, raises funds through common and preferred stock offerings to continue accumulating Bitcoin. STRC is its perpetual preferred stock with a $100 par value and an 11.5% dividend yield. When the market price falls below par, the company's ability to raise funds through at-the-market offerings becomes constrained, weakening the steady buying demand that the market had expected.

After going ex-dividend on March 13, 2026, STRC closed at $99.69 and remained below the $100 threshold through March 18, prompting Strategy to pause Bitcoin purchases through that channel. The company had bought 17,994 BTC and 22,337 BTC in the previous two weeks, respectively, for a combined 40,331 BTC. The abrupt halt in this funding engine has raised questions about whether BTC could retest $70,000.

Strategy has long raised funds through stock and debt offerings to accumulate Bitcoin. Its perpetual STRC preferred stock attracts capital with a high dividend, with the proceeds then used to buy Bitcoin. The instrument has no maturity date, but its sustainability could be undermined by the dividend burden, Bitcoin price volatility and a breakdown in financing markets.

In the week ending July 19, 2026, Strategy was estimated to have added about 7,000 Bitcoin after raising funds through STRC, though the actual amount raised has not been disclosed. Alexander Blume, CEO of investment adviser Two Prime, said investors may be underpricing the risk of a major market dislocation given STRC's 11.5% annualized yield, warning that there is “no free lunch” behind the high return.

Strategy uses its STRC perpetual preferred stock to raise capital, creating an ongoing funding channel for Bitcoin purchases. Its at-the-market program allows the company to issue additional shares depending on market conditions. STRC’s liquidity and market demand will directly affect Strategy’s ability to expand its Bitcoin holdings, as well as investors’ assessment of its financing ceiling and dilution risks.

The latest reports revised STRC’s Monday trading volume to $1.5 billion from an initial estimate of $1.16 billion and said it funded Strategy’s purchase of 11,707 Bitcoin, above the earlier estimate of 7,800. Trading volume could set another record on Tuesday, while Delphi Digital warned that the STRC financing model faces a $28 billion scale ceiling.

Strategy, the world's largest corporate holder of Bitcoin, launched perpetual preferred stock STRC in July 2025 to raise U.S. dollar funding through share issuance and buy more Bitcoin. STRC targets a price near its $100 par value, with its high dividend designed to attract income-focused investors while allowing the company to continue expanding its crypto holdings.

Strategy said STRC's annualized dividend rate would remain at 11.5% in April 2026, ending a run of seven consecutive increases since the product's launch. With STRC's market price gradually stabilizing and approaching its $100 par value, the company will not raise the rate this month but will continue using the stock as a fundraising vehicle for future Bitcoin purchases.

Strategy (MSTR) launched its floating-rate perpetual preferred stock, Stretch (STRC), in July 2025, using at-the-market issuance to raise funds for additional Bitcoin purchases while paying monthly dividends. The instrument converts capital-market demand into crypto-asset reserves, helping make Strategy the world’s largest publicly traded corporate holder of Bitcoin.

On March 3, 2026, STRC trading volume reached $198.7 million, with about $177 million transacted above its $100 par value, enough to fund an estimated purchase of about 1,000 BTC. On March 9, the company sold another roughly 2.4 million STRC shares, financing an estimated purchase of 1,420 BTC and setting a single-day record.

Strategy’s STRC is a Nasdaq-listed variable-rate Series A perpetual preferred stock that ranks senior to MSTR common stock. Monthly dividends and rate adjustments are designed to keep its price close to its $100-per-share par value. Its annual dividend rate is 11.25%, giving companies exposure to bitcoin through a liquid security and showing how corporate treasury strategies are expanding beyond direct BTC holdings into “digital credit” instruments.

On February 25, 2026, Prevalon Energy, Anchorage Digital and OranjeBTC confirmed that they held STRC, though none disclosed the amount. STRC briefly returned to its $100 par value that day, with trading estimated to support the purchase of about 22 BTC. On February 24, 21Shares launched the Strategy Yield ETP in Europe with a 0% annual management fee.

Strategy, formerly MicroStrategy, raises money through stock and bond offerings to buy Bitcoin, making MSTR a leveraged proxy for the cryptocurrency. Its Nasdaq-listed perpetual preferred security, STRC, carries an annual dividend rate of 11.25% and pays monthly cash dividends, with proceeds also used to acquire more Bitcoin. Anchorage Digital has long provided trading and custody services.

Anchorage Digital said on February 25, 2026, that it had added STRC to its own balance sheet, without disclosing the purchase amount or exact acquisition date. Goldman Sachs data showed that Strategy had become the most shorted U.S. large-cap stock. The company separately spent $39.8 million on February 23 to buy 592 Bitcoin, lifting its total holdings to 717,722 Bitcoin, worth about $46.68 billion.