Retail investors shift from MSTR to Strategy’s STRC preferred shares

Strategy CEO Phong Le says retail investors are increasingly exposed to Strategy’s Bitcoin-buying preferred share STRC rather than its common stock MSTR. Roughly 40% of Strategy’s ordinary shares are held by individuals, but Lee claims those investors account for about 80% of STRC ownership. STRC debuted alongside Strategy’s $2.5bn launch in the prior year. At a roughly $5bn market cap, Le argues STRC’s appeal is “low-volatility, high-yield digital credit.” The CEO also points to Strategy common stock (MSTR) falling about 56% over six months to around $134, reinforcing why risk-adjusted demand is tilting toward STRC’s dividend profile. Benchmark-StoneX analyst Mark Palmer said the preference makes sense: MSTR is essentially a leveraged, non-yielding Bitcoin proxy, while STRC offers more predictable income with downside limits via significant Bitcoin overcollateralisation. He noted this doesn’t fully replace common-equity demand from institutions, but rather expands Strategy’s addressable investor base. Retail access has broadened since STRC trades on Nasdaq and is available via Robinhood, Kraken and Webull. Lee estimates retail holds about $4bn of STRC—around 80% of STRC’s market value—while retail’s notional value in MSTR common shares remains higher, implying STRC is gaining share but not fully displacing MSTR yet. Traders should watch STRC issuance/price dynamics and retail sentiment as flows between STRC and MSTR may affect near-term volatility around Strategy’s capital-raising and Bitcoin exposure narrative.