Strategy Defies Bitcoin's Meltdown with Aggressive Dividend Policy

Michael Saylor's Strategy brand has released an annual performance report showing its digital credit instruments performed better than Bitcoin over the past year. While 'raw' Bitcoin plunged 47% in value, Strategy's defensive debt securities absorbed the blow and the flagship STRC instrument even posted a net gain of 9%. The secret behind this resilience lies in an aggressive dividend policy: the board of directors keeps the security's market price near par by adjusting payouts.

The Strategy lineup includes senior defensive tranches with fixed coupons (STRD, STRF) and hybrid convertible instruments (STRK), which distributed investor risks during the market storm. However, this stability comes at a cost for the company: to provide high double-digit payouts amid the prolonged decline in cryptocurrency value, Strategy has been forced to sell Bitcoin from its treasury.

In August 2026, the company disposed of another $104 million worth of coins in its latest transactions. The company's total annual obligations to its security holders already exceed $1.2 billion, prompting independent analysts to urge investors to treat Saylor's marketing with caution due to a serious opportunity-cost factor.