Strategy launches buyback and bitcoin monetization plan, lifts STRC dividend to 12%

Strategy (MSTR) unveiled a new Digital Credit Capital Framework on Monday, introducing a series of capital management initiatives designed to strengthen its preferred securities, preserve long-term bitcoin exposure, and improve balance sheet flexibility.

The company has already adopted a board-approved U.S. dollar reserve policy and increased the annual dividend rate on its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) to 12%, effective for dividend periods beginning July 1. Strategy said its U.S. dollar reserve currently stands at approximately $2.55 billion, enough to cover about 17.4 months of preferred dividend and interest obligations. The board also authorized a share buyback program and a bitcoin monetization plan, though specific details on size and timing were not disclosed.

For cryptocurrency and digital asset traders, this development signals that one of the largest corporate bitcoin holders is evolving its treasury strategy beyond passive accumulation. By raising the STRC dividend and initiating buybacks, Strategy is effectively returning capital to shareholders while maintaining its core bitcoin holdings. This dual approach could influence market perception of corporate bitcoin adoption, potentially reinforcing bitcoin's role as a treasury reserve asset. Traders monitoring MSTR as a bitcoin proxy may see increased volatility as the market digests the implications of active capital management on the company's bitcoin per share metrics. For current pricing context on bitcoin and related assets, check NowPrice's crypto page.

Looking ahead, market participants will watch for further details on the buyback and monetization programs, including execution timelines and size. The effectiveness of the new framework in balancing shareholder returns with bitcoin exposure will be a key theme for Strategy's stock and its preferred securities. Additionally, the company's ability to maintain its bitcoin holdings while servicing the higher dividend could test the resilience of its balance sheet strategy in a volatile crypto environment.