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Strategy Ends 'Never‑Sell' Policy to Fund 12% Preferred Dividends

The company adopted a conditional Bitcoin monetization plan that creates a cash buffer and shifts recurring payout risk to common shareholders.

Overview

  • In late June and early July Strategy formalized a BTC Monetization and Capital Framework that allows conditional Bitcoin sales and permits up to $1.25 billion of monetization to support dividends and liquidity.
  • The company has sold about 3,620 BTC in two tranches (32 BTC then 3,588 BTC) for roughly $216 million to help pay preferred dividends and top up cash reserves.
  • Strategy also sold 4.82 million common shares through an ATM program for about $466.7 million net and disclosed a USD Reserve that company filings put at roughly $3.0 billion.
  • The new STRC preferred carries a 12% annual dividend, which raises the bar for Bitcoin returns and leaves common shareholders exposed to dilution, realized losses, and two‑way price pressure if more sales are needed.
  • Markets have sharply repriced the common stock and analysts and prediction markets show reduced confidence in STRC reaching $100 by year‑end as investors weigh the tradeoff between near‑term coverage and long‑term risk to the BTC treasury.