Strategy Inc. rolled out a sweeping five-part Digital Credit Capital Framework on Monday morning, authorizing bitcoin sales, boosting its STRC preferred dividend rate, and opening $1 billion buyback programs for both preferred stock and common shares as bitcoin trades around $60,032 per coin at 8 a.m. Eastern time and MSTR shares sit around $82.
Key Takeaways:
Strategy’s $2.55B USD Reserve covers 17.4 months of preferred dividends and interest payments.STRC dividend rate rises to 12% effective July 1, 2026, targeting a $99-$100 trading price.Strategy authorizes $1B each in preferred stock and MSTR buybacks, funded partly via bitcoin sales.“Strategy expects to remain disciplined in its use of MSTR issuance, particularly when the stock trades at or near 1x mNAV.”
STRC Gets a Rate Hike Buyback ProgramsCEO Phong Le framed the move as a shift in capital strategy. “We intend to move between issuing securities when capital is attractive and repurchasing securities when our instruments trade at levels that make buybacks accretive,” Le remarked.
Neither buyback program is funded from the USD Reserve. Both can be modified, suspended, or terminated at any time.
Bitcoin Sales Now on the TableKang added:
Equity Discipline
