Michael Saylor’s Strategy Boosts Bitcoin Buying Power as STRC Hits Record High

Strategy (NASDAQ: MSTR) Executive Chairman Michael Saylor appears to be executing another key step in his bold Bitcoin accumulation strategy. The company’s perpetual preferred share, Stretch (STRC), recently surged to a record high of $100.10, with trading volume exceeding 1 million shares.

This achievement is significant for Strategy, the largest corporate holder of Bitcoin (BTC), currently valued at around $103,313, as it enables the firm to leverage its at-the-market (ATM) offering linked to STRC to acquire more of the leading cryptocurrency. STRC is described by the company as a short-duration, high-yield credit instrument, offering an attractive annualized 10.5% cash return, paid monthly.

Initially, the STRC’s ATM program, launched on July 31, had been paused since the share price was below par. To attract investor interest and push STRC toward its $100 par value, Strategy raised its dividend rate from 9% to 10.5%. The company’s latest 8-K filing revealed that it now has an impressive $4.2 billion in available capacity for share issuance, signaling significant potential to expand its Bitcoin reserves without diluting shareholder equity.

Strategy has already used ATM sales from its other perpetual preferred instruments — STRK, STFR, and STRD — along with common stock offerings to finance Bitcoin purchases. These strategic moves highlight Saylor’s commitment to building long-term Bitcoin exposure while optimizing corporate capital structure.

Despite MSTR shares falling 15% year-to-date to around $253, the firm’s multiple to net asset value (mNAV) remains near 1.3. This underscores that successfully issuing more perpetual preferred stock like STRC is crucial to sustaining its Bitcoin accumulation strategy in a non-dilutive way.

As of early trading, STRC rose 0.5% to $100.50, while MSTR dipped 1%, reflecting investor confidence in the preferred share’s performance despite broader volatility in the crypto and equity markets.