Strategy Proposes Daily Dividend Accruals on Preferred Shares

Strategy, a Bitcoin treasury firm, has proposed daily dividend accruals on its four U.S. preferred shares: STRF, STRC, STRK, and STRD.

The proposal, which was filed as a preliminary proxy on September 25, aims to pay dividends every calendar day, including weekends and public holidays, with the payment made the next business day.

According to executive chairman Michael Saylor, the move is intended to support price stability, liquidity, and demand. 'The way that you create low volatility and high liquidity is to shorten the duration of the instrument and to actively manage the credit,' he said.

The proposal would bring the four securities in line with STRC's current dividend schedule, which would increase from 24 record dates a year to 365. The change could result in STRC's price falling by roughly 36 basis points on the day before the dividend payment.