Strategy is pairing a structural change to its preferred-stock dividends with a newly quantified Bitcoin funding capacity, reinforcing its position as the largest corporate Bitcoin holder. The company announced that STRC preferred shares will switch from semi-monthly to daily dividends beginning November 1, with the first daily payment due November 2. Shareholders approved the change with 99.3% of votes cast, and STRF, STRK and STRD are scheduled to adopt daily accruals on January 1.
The dividend adjustment is designed to reduce price volatility around ex-dividend dates rather than increase investor yield. CEO Phong Le said STRC had experienced about a 49-basis-point decline around ex-dividend dates under monthly payments, improving to roughly 36 basis points after moving to semi-monthly distributions. The company argues more frequent payments will smooth price pressure and support liquidity, keeping preferred shares closer to their $100 stated value. STRC closed at $99.34 on October 29 after trading below par for months.
On the third-quarter earnings call, Executive Chairman Michael Saylor outlined up to $30 billion in digital credit capacity from the existing balance sheet to fund additional Bitcoin purchases without issuing new common shares. Strategy held 848,517 BTC as of October 25, 2026, up about 26% year to date. CEO Phong Le said preferred share issuance would become the main Bitcoin acquisition channel, describing a scenario of raising $1 billion to $2 billion monthly through STRC. At recent prices near $78,000 per Bitcoin, $30 billion could theoretically acquire roughly 385,000 additional BTC, more than double the roughly 176,000 coins added so far this year.
The company reported $19.53 billion in net income for the third quarter, driven by a $20.91 billion unrealized gain on digital asset holdings under fair-value accounting. That contrasts with an $8.22 billion net loss in Q2 2026 when Bitcoin prices fell. Strategy also disclosed a negative 3.7% BTC Yield year to date through October 25 and a negative $2.03 billion BTC gain. The preferred-share model has drawn comparisons with Strive, whose SATA preferred shares moved to daily dividends in June, as both firms use preferred equity to attract income-focused capital for Bitcoin accumulation.
