Strategy, the company holding the most Bitcoin (BTC), plans to issue shares called STRD, offering 2.5 million shares of this stock.
The company is raising funds to purchase more BTC and support its operations. By doing this, Strategy is showing it believes BTC is a reliable investment.
The STRD stock stands out for offering dividends to its investors. Even though dividends may be available, only Strategy’s board has the authority to decide whether they are paid.
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If approved, dividends will be paid four times a year, starting September 30, 2025. The dividend rate is 10% of the stock’s value, paid only in cash. If Strategy skips a dividend, it does not owe anything later.
Each STRD share starts with a value of $100, known as the liquidation preference. This value can change based on the market price and trading volume.
If a large number of Strategy shares are sold, the price could increase to match the highest trade. Therefore, the stock’s price can fluctuate easily.
Creating view investment opportunities
Strategy can choose to buy back all STRD shares if certain conditions are met, such as if only a small number of shares remain or if specific tax issues arise.
If a major event like a company takeover occurs, STRD shareholders can request Strategy to repurchase their shares at the set value plus any unpaid dividends. The money raised from this stock sale will primarily be used to purchase more Bitcoin.
Strategy already holds a significant amount of Bitcoin and views it as a core part of its future strategy. Major financial institutions like Barclays and Morgan Stanley are assisting with the stock offering. Those interested in the stock can find details on the SEC’s website or contact these banks.
This offering is registered with the SEC, ensuring it complies with regulatory requirements. However, Strategy notes that market changes could affect the plan. The company’s focus on Bitcoin and its stock offering provides new investors with an opportunity to share in its long-term vision.
For many, this could be another attractive way to gain exposure to BTC. Strategy continues to make aggressive moves with its Bitcoin purchases.
Earlier today, the company announced the acquisition of another $75 million in BTC.
