STRC preferred dividend stays 12% as shares trade below $90

Strategy Inc. kept the STRC preferred dividend at 12% annualized for the Aug. 2026 record date, even though STRC closed around $89.46 in late July—more than 10% below its $100 stated value. With the stock trading at a discount, the implied yield is materially higher than the 12% rate, but management says STRC will not automatically raise the STRC preferred dividend just because price stays below par. In the latest update, the company detailed cash coverage and capital actions: it reported about $3.75B in U.S. dollar reserves that can cover roughly 2.1 years of expected preferred dividends and debt interest. Strategy also repurchased about 288,930 STRC shares for ~$25M at an average ~$86.53 during July 20–26, while keeping most of its remaining $1B STRC buyback authorization. For crypto traders, the key linkage is Bitcoin funding needs. Strategy’s Q2 net loss was $8.22B, driven mainly by an $8.32B unrealized Bitcoin loss. Because the STRC preferred dividend must be paid in USD, the firm authorized Bitcoin sales to replenish reserves, including prior sales totaling about $218.4M BTC-equivalent through July 26. This can reduce the near-term probability of additional BTC accumulation tied to STRC liquidity. Next payment timing remains: the scheduled distribution is Aug. 15 after the July 31 record date.