Strategy declares daily STRC dividends as preferred stock trades below $100
Daily dividends announced for November
Strategy, the largest corporate holder of Bitcoin, declared daily cash dividends on its STRC preferred stock for the month of November. The dividends cover each calendar day from Nov. 1 to Nov. 30, with payments starting Nov. 2. Each payment will be made on the business day following its record date, according to a Form 8-K filed with the Securities and Exchange Commission.
The move is conditional on shareholder approval and related amendments taking effect.
Key numbers
- Annualized dividend rate: 12%
- STRC price: $99.32 (as of Oct. 16)
- STRC par value: $100
- Bitcoin purchases last week: 250 BTC for $21.5 million
- Total Bitcoin held: 848,250 BTC
- STRC buybacks in the week ending Oct. 4: $176 million
What the company said
Strategy stated that management will continue recommending the 12% annualized dividend rate until the stock shows "sustained, healthy trading near $100 per share." The company noted that daily dividends could make STRC more appealing to investors and help the stock trade closer to its par value.
STRC is one of Strategy's main fundraising vehicles for purchasing Bitcoin.
Recent trading activity
Last week, Strategy bought 250 Bitcoin for $21.5 million. During the prior week ending Oct. 4, the company repurchased $176 million worth of STRC, spending more than six times as much on buybacks as the $28 million it spent on Bitcoin purchases that same period.
On June 29, Strategy unveiled a capital framework that allows Bitcoin sales to fund dividends and raised STRC's annual dividend rate to 12%.
Why this matters
STRC has been trading below its $100 par value, which can make the preferred stock less attractive to investors. Daily dividends are an effort to close that gap by providing regular income to shareholders, supporting demand for the stock, and sustaining a key funding source for Strategy's Bitcoin purchases.
What is still unclear
The dividends are conditional on shareholder approval and amendments taking effect, so the plan is not yet finalized.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.