Last week, Strategy raised more money than it spent on Bitcoin, pocketing around $33 million as it doled out more of its variable rate, or STRC, preferred stock. In recent months, Strategy has embraced the dividend-paying product as an alternative source of funding, which co-founder and Executive Chairman Michael Saylor has dubbed “digital credit.”
Last week, the company raised $7.1 million via STRC, a small sum compared to the $230 million that gained from issuing common shares. By issuing preferred shares, Strategy seeks to keep Bitcoin routinely flowing to its coffers—without diluting common shareholders—as its stock faces pressure amid what some fear is a prolonged downturn for Bitcoin.
What the Iran Conflict Means for Bitcoin's Price
