Full story
STRC rebound plan
Strategy’s variable-rate preferred stock Stretch (STRC) rebounded 30% as the company built a $4 billion US dollar reserve and used bitcoin sales to support dividend coverage.
“STRC’s annualized dividend rate at 12%.”
CoinDesk said STRC was trading near $94 after climbing more than 30% from its late-June low, while Strategy had repurchased $106 million of the preferred stock.
CoinDesk also reported that Strategy sold 5,226 BTC for $321 million across three separate transactions, reducing its bitcoin holdings from 847,363 BTC to approximately 842,137 BTC.
In the same period, CoinDesk said Strategy increased its U.S. dollar reserve by another $250 million on Monday, bringing the total to $4 billion, and maintained STRC’s annualized dividend rate at 12%.
CoinDesk added that Strategy was eyeing Sept. 8 as a potential date for the preferred stock to return to its $100 par value.
Sales, buybacks, reserves
CoinDesk reported that STRC closed above $90 for the first time in seven weeks, with STRC closing at $92.32 on Monday and first close above $90 since June 16.
CoinDesk said the recovery followed steps by Strategy to support STRC, including the sale of 1,638 Bitcoin for $104.7 million disclosed Monday in its latest 8-K filing.
CoinDesk wrote that Strategy used $52.4 million to fund preferred-stock dividends and $52.3 million to repurchase STRC, while also raising $290.6 million through MSTR share sales.
CoinDesk said Strategy repurchased 912,143 STRC shares for $81.2 million and increased its dollar reserve to $4 billion, keeping STRC below its $99 to$100 target range.
In a separate CoinDesk item, Strategy sold 1,690 bitcoin for $108.6 million and used the proceeds to repurchase 1.15 million STRC shares, while raising $653.1 million through MSTR stock sales and directing $650 million to its USD reserve.
What comes next
Across the coverage, Strategy’s stated objective is to return STRC toward its $100 stated amount, with CoinDesk noting the stock was trading around $94 after bottoming in late June around $71 when bitcoin fell below $60,000.
“provides approximately 2.3 years of coverage for dividend obligations”
CoinDesk said the company noted in its second-quarter earnings call that, following STRC’s initial public offering, it took 70 trading days for the security to reach par after trading at $90 in July 2025, and that applying the same timeframe from when STRC fell outside its targeted range in late May put Sept. 8 in focus.
CoinDesk also described how the company’s cash coverage is tied to bitcoin sales and reserves, stating that the $4 billion US dollar reserve provides approximately 2.3 years of coverage for dividend obligations on its preferred securities.
In a separate Arkham write-up, Strategy’s USD reserve was described as sitting at $4.65 billion after it sold 1,690 BTC for approximately $108.6 million between Aug. 3 and Aug. 9 and executed at an average price of $64,262 per bitcoin.
Arkham added that Strategy’s efforts are aimed at stabilizing its preferred stock, noting that STRC came away from its par value of $100, going as low as $75, and was at $95 after the latest sale.