Strategy Suggests Semi-Monthly Dividends for its STRC Preferred Stock

Strategy, a prominent bitcoin treasury firm, has submitted a proxy filing that could lead to semi-monthly dividend payments for its STRC 'Stretch' series of preferred stock, pending approval. Executive Chairman Michael Saylor noted that this move would not impact the annual dividend obligations or the dividend rate of STRC, which currently stands at 11.5%. Saylor explained that the proposed changes are designed to stabilize the stock price, minimize cyclicality, drive liquidity, and stimulate demand. The STRC stock 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 reduce it. The voting on the amendment is set to close on June 8, with the expected first payment date under the new plan being July 15. On Friday, MSTR shares saw an 11.8% increase, coinciding with bitcoin's 3% rise to $77,400.