Strategy Company continues to expand its financial offerings related to Bitcoin, including the expansion of the STRC program and accumulating investor lawsuits.
Expansion of STRC Program
Strategy Company announced the expansion of its STRC offering, which includes issuing up to $4.2 billion in shares for acquiring Bitcoin. STRC is a hybrid corporate security that pays dividends with variable yields and has no set maturity date. Previously, the company began fundraising through STRC in July, initially targeting $500 million.
Lawsuits Against Strategy Company
Multiple law firms have filed lawsuits against Strategy Company, claiming that the company misrepresented Bitcoin's volatility risks and projected profits. Attorneys involved noted that the legal disputes may take years to resolve. Many of the lawsuits include similar claims regarding the use of alternative financial metrics, which, according to plaintiffs, allowed the company to disguise financial losses.
Comments from Co-founder Michael Saylor
Michael Saylor, co-founder of Strategy and a Bitcoin advocate, disagreed with criticism of the company's business model, stating that Strategy is a misunderstood enterprise, emphasizing their utilization of the most innovative technologies and assets while facing market undervaluation.
Strategy Company continues to actively pursue the expansion of its STRC offerings despite the increasing number of lawsuits and criticism of its business model.
