Strategy is preparing for an initial public offering (IPO) of new shares that will be used to increase Bitcoin reserves and fund general operations.
IPO Plans and New STRC Shares
Strategy plans to launch a new class of preferred shares called STRC, priced at $100 each.
Funding Goals and Bitcoin Reserves
Funds raised will primarily be directed towards Bitcoin acquisitions, with a portion allocated to cover general operational expenditures. In its latest haul, Strategy has increased its BTC holdings to over 607,000 coins, underscoring its ongoing bid to dominate corporate crypto holdings.
STRC Share Conditions and Financial Outlook
The STRC shares, branded as 'Stretch,' promise monthly dividends beginning at a 9% annual yield. While the rate is adjustable, Strategy faces limits on how much it can reduce payouts. After the listing, shares may be redeemed by the company at $101 plus any due dividends.
Thus, Strategy is taking active steps to expand its cryptocurrency reserves through the issuance of new shares and potentially high returns for shareholders.
