Strategy Suggests Semi-Monthly Dividend Payments for STRC Preferred Stock

Strategy, a prominent bitcoin treasury company, has submitted a proxy statement that, upon approval, would enable semi-monthly dividend payments for its STRC 'Stretch' series of preferred stock. The proposed change would not affect the annual dividend obligations or the dividend rate of STRC, which currently stands at 11.5%. According to Executive Chairman Michael Saylor, the primary goal of this adjustment is to 'stabilize price, dampen cyclicality, drive liquidity, and grow demand.' The STRC series has gained significant popularity, with its outstanding notional value reaching $6.4 billion as of the filing. Although volatility has decreased to 2.1% over the past two months, Saylor believes that semi-monthly payments could further minimize fluctuations. The voting period for this amendment will conclude on June 8, with the first payment under the new plan expected on July 15. Notably, MSTR shares experienced an 11.8% increase on Friday, coinciding with bitcoin's 3% rise to $77,400.