Strategy’s STRC preferred stock reached $100 on Nov. 4 after months of trading below par, marking a potential inflection point for the company’s Bitcoin acquisition strategy. The milestone arrived three trading sessions after Strategy shifted to daily dividend distributions on Nov. 1, replacing its previous quarterly structure.
“We’re ₿ack,” Michael Saylor, executive chairman of Strategy, declared following the price recovery.
The $100 level carries operational significance for Strategy. The company has maintained a policy of not issuing STRC below that threshold. During the months when STRC traded below $100, Strategy pivoted from raising capital through new share issuance to repurchasing the security at a discount, deploying approximately $2 billion in buybacks since July.
With STRC now at par, Strategy can resume issuing shares to finance Bitcoin purchases instead of absorbing losses through buybacks. As of Nov. 1, the company disclosed approximately $18 billion of STRC available for issuance and sale, and its Bitcoin treasury stood at 849,327 BTC.
The daily dividend structure, announced Nov. 1, appears to have accelerated the price recovery. STRC carries a 12% annual dividend rate. According to independent tracker STRC.live, renewed at-the-market (ATM) activity following the Nov. 4 milestone may have financed approximately 191 BTC purchases. Strategy has not confirmed those purchases.
The preferred stock closed at $99.97 after briefly touching $100, underscoring the tightness of the market near the company’s issuance threshold.
Institutional Demand and Structural Constraints
Fidelity Digital Assets identified perpetual preferred stock as an emerging source of institutional Bitcoin demand in an Oct. 20 report. According to Fidelity’s analysis, Bitcoin-focused preferred securities had financed accumulation of 135,979 BTC as of Oct. 5.
Fidelity warned that the model depends on Bitcoin appreciating sufficiently to offset dividend costs, exposing issuers to financial pressure during prolonged market downturns. Strategy has maintained its 12% dividend rate despite spending billions supporting the stock when market demand proved insufficient.
STRC has generated substantial trading activity since its introduction. The preferred stock achieved $10 billion in product value within its first year and averaged $143 million in daily trading volume. Yield-generating stablecoins and tokenized products built on STRC reached $500 million in value.
Phong Le, CEO of Strategy, stated the company’s broader vision: “Digital Credit for everyone.”
