Michael Saylor's Strategy to Introduce 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), from a monthly to a semi-monthly basis. This adjustment, outlined in the company's investor presentation, would maintain the annualized dividend rate of 11.5% and keep total annual obligations unchanged, currently at $1.2 billion. As a result, holders can expect to receive payouts approximately every two weeks instead of once a month, 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 price decline of $0.45 after the ex-dividend date, with a recovery period to its $100 par value taking around two weeks. By implementing semi-monthly payments, the company seeks to reduce this volatility and time lag. More frequent payouts would also minimize reinvestment lag, allowing Strategy to purchase bitcoin at a more consistent pace. The proposed change aligns with the typical twice-monthly U.S. payroll cycle, creating more opportunities for shareholders to enter and exit, ultimately aimed at 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 the company's data. If approved, STRC would become the only semi-monthly dividend-paying preferred share in the market. Recently, STRC's price fell below $99 following the April 15 ex-dividend date, highlighting the volatility the company aims to mitigate.