Strategy ramps up Bitcoin accumulation with new Stride shares offering
Strategy, the world’s largest corporate holder of Bitcoin, announced plans to issue 2.5 million shares of its new Series A Perpetual Preferred Stock, dubbed Stride (STRD). This move continues the company’s aggressive Bitcoin investment strategy by raising additional capital specifically earmarked for Bitcoin acquisitions.
“Strategy intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of bitcoin and for working capital,” the company said in a statement.
What are Stride preferred shares?
The new STRD shares offer a 10% annual dividend, but unlike traditional stocks, they are non-convertible into Strategy’s common shares. They also have no maturity date, a common feature of perpetual preferred shares, making them attractive to investors seeking steady income.
Key features of STRD stock include:
- 10% non-cumulative annual dividend
- Available to institutional and select non-institutional investors
- Not convertible into common stock
- Redeemable under specific conditions such as tax events or low outstanding supply
Bitcoin-focused capital strategy expands
This isn’t Strategy’s first foray into using preferred shares to finance its Bitcoin treasury plan. The company previously launched two other preferred share offerings:
- Strike (STRK) – offering a 13% yield
- Strife (STRF) – offering a 10% yield
Both STRK and STRF are convertible preferred shares, unlike STRD. Co-founder and Executive Chairman Michael Saylor referred to them as “the first AI-designed securities”, underlining the company’s unique blend of tech and finance in its approach.
Strategy now holds over $60B in Bitcoin
Following its most recent purchases, Strategy confirmed it now owns 580,955 BTC, valued at over $60 billion. This aggressive accumulation has transformed Strategy into the leading corporate Bitcoin investor, inspiring other companies to explore Bitcoin as a treasury asset.
This approach has paid off — Strategy’s stock price has more than doubled over the past year, fueled by Bitcoin’s rally and growing institutional interest.
Conditions for redemption of STRD shares
According to the company, Strategy retains the right to redeem all STRD shares under the following conditions:
- If the total outstanding STRD shares fall below 25% of the original issuance
- If certain tax-related events occur
These clauses provide strategic flexibility while maintaining investor protection through fixed income returns.
Final Thoughts
Strategy continues to innovate in the financial markets by using preferred equity offerings to support its Bitcoin-first corporate strategy. With over $60 billion in BTC holdings, the launch of Stride (STRD) further cements its position as the pioneer of Bitcoin-backed corporate finance.
