[DigitalToday reporter Yoonseo Lee] Strategy has decided to keep the August dividend rate on its STRC preferred shares at 12 percent.
On Aug. 2 (local time), blockchain outlet Cointelegraph reported that STRC had traded well below its $100 par value through late July, but the company decided not to raise this month’s dividend.
The decision keeps STRC’s dividend at the same level after last month’s increase. Michael Saylor (마이클 세일러), Strategy’s chairman, posted the news on social media on Aug. 2, introducing STRC as “a means to increase income.” August is the second month in which a semi-monthly dividend structure approved by shareholders in June applies.
STRC closed at $89.46 on Nasdaq on Aug. 1. It rose 5.42 percent in July, but the share price remains below its $100 par value. The company previously raised the dividend rate by 50 basis points to 12 percent after a weak share-price trend in June, and Aug. 1 trading volume was about two-thirds of the daily average.
Phong Le (퐁 레), Strategy’s chief executive officer, said on Aug. 1 that the company’s corporate goal is for STRC to trade at $99 to $100 over time. He did not separately explain when it expects that to happen.
The company is also conducting direct buybacks while the shares continue to trade below par. Strategy said it recently repurchased $25 million worth of STRC preferred shares at prices below par. It also set out a policy to keep buying while STRC trades below $100.
It also highlighted funds to support dividend sustainability. Strategy said it has built a $3.75 billion cash reserve to support preferred dividend payments since launching its Bitcoin monetisation programme. The company said the dollar reserve is enough to cover preferred dividends and interest payment obligations for more than 2 years.
The steps also come as performance has recently deteriorated. Strategy announced last week it posted a second-quarter net loss of $8.22 billion. Most of the loss came from an $8.32 billion unrealised loss on its Bitcoin holdings as Bitcoin prices fell during the quarter.
Saylor, meanwhile, wrote on social media on Aug. 3, “Bitcoin drive on,” suggesting the possibility of changes in the company’s Bitcoin treasury holdings. He has typically kept to a pattern of posting a chart of Bitcoin purchases early in the week, and he left open the possibility of a related announcement again.
In the market, investors are watching whether STRC’s share price returns to par and the sustainability of the Bitcoin treasury strategy as key variables. With the company opting not to raise the dividend rate further while building cash and buying at a discount, the next point to watch is whether STRC moves toward the $99 to $100 target range.
Stretch Dividend Rate maintained at 12.00% for August 2026. $STRC pic.twitter.com/HaBpi2vEJa