Michael Saylor's Strategy Shifts to Bi-Monthly Dividend Payments 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 amendment, as outlined in Strategy's investor presentation, would maintain the annualized dividend rate of 11.5% and the total annual obligations of $1.2 billion, while providing payouts approximately every two weeks instead of once a month. The first semi-monthly payment is anticipated on July 15, following the June 8 shareholder vote. Currently, STRC experiences an average price decline of $0.45 after the ex-dividend date, with a recovery to its $100 par value taking around two weeks. By implementing semi-monthly payments, the company seeks to mitigate this volatility and enable more consistent capital raising for bitcoin purchases. More frequent payouts are expected to reduce the time lag between dividend payments and allow Strategy to purchase bitcoin at a more consistent pace. This change aligns with the typical twice-monthly U.S. payroll cycle, creating more opportunities for shareholders to enter and exit, which should contribute to reduced volatility. According to Strategy's data, STRC's historical volatility has averaged 13% from August 2025 to March 2026 but decreased to 2% between March and April 2026. Upon approval, STRC would become the only preferred share with semi-monthly dividend payments in the market. Recently, STRC's price dropped below $99 following the April 15 ex-dividend date, highlighting the volatility that the company aims to address.