Strategy Maintains Preferred Stock STRC Dividend Rate at 11.5% for 4 Consecutive Months... Proves Effective in Price Stability and as a 'BTC Purchase Funding Source'
According to CoinDesk, the dividend rate for STRC, a preferred stock issued by Strategy (MSTR), will remain at 11.5% for the fourth consecutive month. Last mont
What to know
- According to CoinDesk, the dividend rate for STRC, a preferred stock issued by Strategy (MSTR), will remain at 11.5% for the fourth consecutive month. Last mont
According to CoinDesk, the dividend rate for STRC, a preferred stock issued by Strategy (MSTR), will remain at 11.5% for the fourth consecutive month.
Last month, STRC dropped to a low of $97.11, but its closing price recorded $99.62, which is close to the face value of $100. With this price stability secured, it is evaluated that the current dividend rate has been defended without the need for an additional dividend increase.
STRC is a product that pays a variable monthly dividend to holders, targeting an annual rate of 11.5%. It is structured so that the dividend rate decreases if the market price exceeds the face value ($100), and conversely, the dividend rate increases if it falls below the face value. This dividend is paid from the cash held by Strategy.
Meanwhile, Strategy is only investing the funds raised when the STRC price exceeds $100 into purchasing Bitcoin (BTC). Currently, this preferred stock is functioning as a core funding source for Strategy's BTC purchases.