Strategy Inc. Proposes Daily Dividends for Preferred Stock

Strategy Inc., a Bitcoin treasury company, is seeking approval from its common shareholders to change the dividend schedule for its preferred stocks to a daily accrual system. This proposal, which aims to enhance liquidity and reduce reinvestment lag, is set to be voted on during a virtual special meeting on October 28, 2026. If approved, the first daily payment for the STRC preferred stock will be made on November 2, 2026.

Currently, dividends for Strategy's preferred stocks are distributed on a semi-monthly and quarterly basis. The proposed change would allow dividends to accrue every day, including weekends and holidays, with payments made on the next business day. The variable rate for STRC will remain at 12%, and the company's total annual dividend obligations will not change. The proposal also includes three other preferred securities: STRF, STRK, and STRD, which will transition to daily accruals starting January 1, 2027, after making their final payments under the existing system on December 31, 2026.

The voting process for this proposal opens on or around October 5, 2026. Notably, Michael Saylor, a significant shareholder, holds approximately 32.9% of the voting power through Class B shares, which may influence the outcome of the vote. STRC, which has an outstanding amount of about $9.3 billion, has faced challenges with its share price, trading below its $100 par value since May 2026. The company has paid out $255 million in dividends since June 2026, and the proposed shift to daily dividends is seen as a strategy to improve investor engagement and market performance.

© 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Source: KLEA News