Strategy, a prominent holder of bitcoin, has announced that the dividend rate for its Stretch (STRC) perpetual preferred stock will remain at 11.5% for May, marking the third consecutive month at this rate. The volume-weighted average price of $99.76 in April was close enough to the $100 par value to justify keeping the dividend rate unchanged. Since its listing in July 2025, STRC has experienced a series of dividend increases, starting from 9%, as the company aims to minimize volatility and maintain the stock price near its $100 par value. Strategy positions STRC as a short-term, high-yield savings alternative, offering monthly cash distributions.
Currently trading at $99.75, STRC has been below par since April 15, but a return to $100 is anticipated next week based on historical trends. Meanwhile, MSTR common stock has shown signs of recovery, closing April at $165, a 33% increase, and marking its first positive month in nine. The stock had previously fallen by 75% over eight consecutive losing months from August 2025 to March 2026, according to TradingView data.
Bitcoin also saw a 12% increase in April, its best monthly performance since April 2025. Furthermore, Strategy is considering switching to semi-monthly dividend payments for STRC, moving away from its current monthly distribution structure to further reduce volatility.