Grayscale Research Head Zach Pandl has weighed in on Strategy's capital challenges, urging the corporate Bitcoin holder to sell at least $3 billion worth of BTC rather than tinker with its preferred dividend. In a note published ahead of next week, Pandl argued that a 50-basis-point hike on the STRC preferred shares would add roughly $100 million in obligations over two years — but would do little to reassure investors.
Sell Bitcoin or Raise Dividends
Pandl laid out two scenarios. First, Strategy could raise the STRC dividend by 50 basis points. That move would add about $100 million in dividend costs through 2028, yet it would likely fail to meaningfully improve market sentiment. The second and preferred option: sell at least $3 billion in Bitcoin. According to Pandl, the proceeds could cover nearly all of Strategy's cash obligations over the next two years, excluding one convertible debt maturity.
Strategy now holds more than 840,000 BTC, making it the largest corporate Bitcoin hoarder. But the company's capital structure includes massive preferred stock commitments. Pandl noted that annual preferred dividend obligations stand at roughly $1.5 billion, while the legacy software business generates only about $477 million in annual revenue — a gap that intensifies financial pressure.
32 BTC Sale in May Drew Attention
In late May, Strategy sold 32 BTC, its first Bitcoin sale since 2022. Proceeds went toward preferred dividend payments. Though the amount was tiny relative to its stash, the sale signaled a shift in disposition policy. Pandl urged investors to monitor STRC pricing and future Strategy filings for any changes to its Bitcoin treasury strategy.
Weakness in STRC shares also worried Pandl. If the preferred stock continues trading below its $100 par value, it could create additional financial strain. At the time of his analysis, Bitcoin was trading near $60,000, and spot Bitcoin ETFs had seen roughly $3 billion in outflows over preceding weeks. Pandl concluded that a large-scale BTC sale — not a dividend bump — is the most direct way to restore confidence.