Strategy Suggests Semi-Monthly Dividends for Popular STRC Preferred Shares

Strategy, a prominent bitcoin treasury firm, has submitted a proxy filing that could enable semi-monthly dividend payments for its STRC 'Stretch' series of preferred stock, pending approval. According to Executive Chairman Michael Saylor, this change would not impact the annual dividend obligations or the current 11.5% dividend rate of STRC. The primary objective of this proposal 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 recent filing. Although volatility has decreased to 2.1% over the past two months, Saylor believes that adopting semi-monthly payments could further reduce market fluctuations. The voting period for this amendment will conclude on June 8, with the expected initial payment date under the new plan set for July 15. Meanwhile, MSTR shares experienced an 11.8% increase on Friday, coinciding with bitcoin's 3% rise to $77,400.