MSTR Makes Big Bet on Preferred Stock over Bitcoin

MicroStrategy, the world's largest Bitcoin holding company, has restructured its capital by making large purchases of STRC preferred stock instead of buying additional Bitcoin.

The company announced that it purchased 1,818,885 shares of variable interest rate series A permanent stretch preferred stock (STRC) for a total of $176.3 million between August 31st and September 7th.

This move comes as the company expanded its digital credit securities repurchase program from $1 billion to $2 billion, and also did not sell shares through the market-building ATM stock issuance program during this period.

As of September 7th, MicroStrategy still had a $1.19 billion preferred stock purchase limit remaining in the Street Digital Credit Securities Repurchase Program, and separately, the company maintained a $1 billion limit for MSTR Common Stock Purchase Program.