Strategy plans to offer five million shares with new preferred stock to purchase additional Bitcoin
- The shares will accumulate cumulative dividends at a fixed rate of 10% each year
- Strategy said that dividend payments will begin paying out on June 30, 2025
- To date, Strategy holds under 500k Bitcoin, valued at over $40 billion
Strategy is planning to offer five million shares of the companys Series A perpetual strife preferred stock, $STRF, as it works on acquiring more Bitcoin.
In an announcement, Michael Saylors Strategy said it intends to use the proceeds for general corporate purposes, including the acquisition of Bitcoin. However, it noted that this was subject to market, and other conditions.
According to the company, the shares will accumulate cumulative dividends at a fixed rate of 10% per year. Dividends will be paid out beginning on June 30, 2025 out of funds legally available for their payment, Strategy said.
Raising funds for Bitcoin
The news comes as Strategy announced earlier this month that its planning to issue and sell shares of up to $21 billion in its at-the-market (ATM) program.
Through selling shares of its 8.00% Series A perpetual strike preferred stock, $STRK, Strategy said the additional capital will be used for general corporate operations, including the purchase of more Bitcoin.
The latest news also follows a recent Bitcoin purchase Strategy made in an announcement yesterday. In a post on X, Saylor said it had acquired 130 Bitcoin for $10.7 million at an average price of $82,981 per Bitcoin.
Strategy has acquired 130 BTC for ~$10.7M at ~$82,981 per bitcoin and has achieved BTC Yield of 6.9% YTD 2025. As of 3/16/2025, we hodl 499,226 $BTC acquired for ~$33.1 billion at ~$66,360 per bitcoin. $MSTR $STRK https://t.co/8xRmR8vlIt
Michael Saylor (@saylor) March 17, 2025
To date, Strategy now holds 499,226 Bitcoin, valued at $40.92 billion, according to SaylorTracker.com.
Peter Schiff, a long-time opponent of Bitcoin, commented on Saylors tweet, saying: Is that all you bought? Seems like you are running out of fire power.
Is that all you bought? Seems like you are running out of fire power.
Peter Schiff (@PeterSchiff) March 17, 2025
Crypto prices decline
News of Strategys recent Bitcoin purchase and its share offering comes as crypto prices across the market have seen a sharp decline.
At the time of publishing, Bitcoin is trading around $81,000, a substantial drop from its all-time high of $109,000 reached in January ahead of US President Donald Trumps inauguration.
Market conditions and geopolitical issues continue to impact prices despite Trump signing an executive order in March to create a Strategic Bitcoin Reserve.
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