Strategy Bets the Farm on Daily Dividends to Lure STRC Back to $100 🌾

Strategy (MSTR $158.61) is asking shareholders to approve daily dividend payments across its four U.S.-listed preferred stocks — STRF, STRC, STRK and STRD — with a vote scheduled for Oct. 28. The proposal would change payment timing only, leaving dividend rates and total regular payouts unchanged. If approved, STRC's first daily dividend would be paid on Nov. 2, and dividends would accrue every calendar day, including weekends and holidays, before being distributed on the next business day.

The shift is primarily aimed at STRC, which has traded below its $100 stated value since May and dropped as low as $71 during bitcoin's June selloff, despite a 12% annual dividend rate. Strategy moved STRC from monthly to bi-monthly payments in June, but the price has continued to lag. The company has spent roughly $1 billion repurchasing preferred shares under a $2 billion program, including $174 million of STRC in the week ended Sept. 20.

The push toward daily payouts reflects direct competition from Strive's ASST ($29.61) perpetual preferred SATA, which pays dividends every business day at a 13% annual rate and has held close to $100. Strategy has framed daily payments as a way to make STRC more attractive to income investors by shortening the wait to receive and reinvest dividends and smoothing price moves around payment dates, with the stated goal of supporting a trading price near $100. STRC last traded around $98.65.

Strategy remains the largest corporate holder of bitcoin (BTC $83,520.54), holding 846,000 BTC as of Monday, acquired for $63.80 billion at an average price of $75,416 per coin. Bitcoin traded around $83,600 on Friday, while MSTR was 2.15% lower at about $158.