Anchorage Digital Buys Strategy’s High‑Yield Bitcoin Preferred Stock
Anchorage Digital, the first U.S. federally chartered crypto bank, disclosed it holds perpetual preferred shares (STRC) issued by Michael Saylor’s bitcoin treasury firm Strategy on its balance sheet. STRC, launched mid-2025, is a short-duration high-yield perpetual preferred that pays an 11.25% annual dividend (paid monthly) with rate adjustments designed to keep trading near a $100 par value. Strategy is the world’s largest publicly listed bitcoin holder with 717,722 BTC. Anchorage’s CEO Nathan McCauley framed the purchase as “conviction compounding,” while Saylor said “conviction is contagious,” signalling closer operational and capital ties among major institutional bitcoin players. Anchorage provides custody, trading, staking and stablecoin services and is building U.S.-compliant stablecoin rails for international banks. The move is effectively a capital endorsement of the bitcoin treasury strategy and may encourage other institutions to buy yield-bearing, bitcoin-backed securities.
Bullish
Anchorage Digital’s purchase of Strategy’s STRC preferred shares is a visible institutional endorsement of the bitcoin treasury playbook. Key bullish signals: 1) Capital vote — a federally chartered crypto bank adding STRC to its balance sheet increases perceived legitimacy and demand for bitcoin‑backed yield products. 2) Yield attraction — STRC’s 11.25% annualized payout can draw risk‑seeking institutional cash, supporting bitcoin-related asset prices and secondary markets for such securities. 3) Network effect — public alignment between major players (Anchorage and Strategy/Michael Saylor) can encourage similar transactions, amplifying buying pressure. Short-term impact: modest positive pressure on bitcoin risk sentiment and on prices of Strategy-related securities as traders price in higher institutional demand; possible increased flows into yield products and related equities (e.g., MSTR). Volatility could rise as markets reassess fair value and as traders arbitrage preferred vs common shares. Long-term impact: improved market structure and product adoption for bitcoin-backed fixed-income instruments may deepen institutional capital channels into bitcoin, supporting higher valuations and lower risk premia over time. Risks/limits: the effect is contingent on follow‑on purchases by other institutions and macro conditions; if broader risk‑off market moves occur, the supportive effect may be muted. Historical parallels include institutional endorsements (e.g., corporate treasuries or large funds buying bitcoin) that tended to have a durable bullish bias but did not prevent short‑term drawdowns during market stress.