Michael Saylor's Strategy Shifts to Bi-Monthly Dividends for STRC

Strategy, a prominent bitcoin treasury company, has proposed a change to the dividend payment schedule for its perpetual preferred equity, Stretch (STRC), switching from a monthly to a semi-monthly payout. This adjustment, outlined in the company's investor presentation, maintains the 11.5% annualized dividend rate and total annual obligations, which currently stand at $1.2 billion. Instead of receiving dividends once a month, holders can expect payouts roughly every two weeks, with the first semi-monthly payment anticipated on July 15, following the June 8 shareholder vote. According to Strategy's presentation, STRC typically experiences an average $0.45 price decline after the ex-dividend date, with the stock recovering to its $100 par value over a two-week period. By adopting semi-monthly payments, the company seeks to mitigate this volatility and time lag, ultimately keeping STRC closer to its par value. This adjustment would enable Strategy to raise capital more consistently through its at-the-market (ATM) program for bitcoin purchases. The new payment schedule is expected to reduce reinvestment lag and distribute buying pressure more evenly throughout the month, allowing Strategy to purchase bitcoin at a more consistent pace. Aligning with the typical twice-monthly U.S. payroll cycle, this shift creates more opportunities for shareholders to enter and exit, further reducing volatility. Historically, STRC's volatility averaged 13% from August 2025 to March 2026 but decreased to 2% between March and April 2026, according to Strategy's data. If approved, STRC would become the only semi-monthly dividend-paying preferred share in the market, distinguishing it from the 921 that pay quarterly and 32 that pay monthly. Following the April 15 ex-dividend date, STRC recently dropped below $99, highlighting the volatility that the company aims to reduce.