Strategy Proposes Daily Dividends for Preferred Shares

The company Strategy is proposing a new dividend policy for its four preferred shares, including STRC. The proposal aims to change the payment schedule to make every calendar day a record date for dividends, with payments made on the next business day. This move follows in the footsteps of another bitcoin treasury company, Strive, which adopted daily dividends on its SATA preferred shares.

STRC has experienced fluctuations this year, including a sharp drop in June when it fell below its reference price of 100 dollars. The company's executive, Phong Le, mentioned that the security was affected by leverage based on expectations, with some investors borrowing bitcoin as collateral to buy STRC and then facing pressure to add more collateral or sell when the market dropped.

Strategy is now seeking to stabilize STRC's price by implementing a new policy allowing the repurchase of STRC below their nominal value. The company aims to attract more long-term investors, particularly institutional ones. If shareholders approve the proposal on October 28, the daily payment schedule would become effective for STRC on November 2 and for STRF, STRK, and STRD in January.