Strategy proposes daily dividends to get STRC back to $100

The Strategy Dividend Pivot

Real talk: Strategy (MSTR) is trying to bring the hype back to its preferred stocks. The company, which is lowkey the biggest corporate holder of Bitcoin on the planet, just announced a proposal to shift its four U.S.-listed preferred stocks—STRF, STRC, STRK, and STRD—to a daily dividend schedule.

If you’re a shareholder, you’ll get to vote on this Oct. 28. If it passes, the first daily dividend payout for STRC is set for Nov. 2.

Why is this happening?

The main character in this story is STRC. Since June, it’s been struggling to hit its $100 value, even bottoming out at $71 during the June Bitcoin selloff. It’s currently hovering around $98.65.

Strategy is basically trying to close the gap against Strive’s ASST, which already pays out dividends every business day at a 13% rate and is staying strong near that $100 mark. By moving to daily payments, Strategy hopes to make STRC way more attractive to income investors and smooth out those messy price swings around payment dates.

The fine print

Before you go aping in, remember that this isn't financial advice. While they're changing the payout timing, the actual dividend rates and total amounts aren't changing. Strategy has already been aggressively buying back its own shares—dumping about $1 billion into repurchases, including $174 million of STRC just in the week ending Sept. 20.

As of this week, Strategy is holding a massive 846,000 BTC, which they snagged for about $63.8 billion. That’s a whole lot of bags to manage.

Why it matters

Investors love liquidity, and by shortening the wait time to get paid, Strategy is betting that daily dividends will convince the market that STRC is worth its $100 price tag again. It’s a classic move to stabilize assets in a volatile market.