Michael Saylor used a 47-minute keynote at Bitcoin 2026 to frame STRC as a digital credit instrument built around Bitcoin. His pitch centered on a simple idea: combine public equity, preferred shares, variable dividends, and return-of-capital features into one structure that can convert Bitcoin-driven gains into steadier income for investors.
Turning Bitcoin returns into a credit product
Saylor drew a clear line between two investor groups. Capital investors, in his description, are willing to tolerate volatility over long periods in exchange for higher upside. Credit investors want dependable income and lower risk exposure. STRC is meant to sit between those profiles. He said the model leans on Bitcoin’s historical performance, which averaged roughly 38% annually over five years, and uses that return profile to support an 11% dividend for credit investors. The structure also uses collateralization to reduce the impact of Bitcoin price swings on the income side of the product.
$8.5 billion in assets and heavy retail participation
Saylor shared several operating metrics to support early adoption. According to him, STRC reached $8.5 billion in assets within nine months. Daily liquidity approached $400 million, while volatility declined to 2.9%. He also said the instrument posted a 2.7 Sharpe ratio, above most traditional credit products, and became the most liquid preferred stock despite its short operating history.
Retail ownership was another focus. Saylor said about 80% of holders are retail investors, representing nearly 3 million households. He also said BlackRock and VanEck hold STRC in their credit funds. Demand moved with market conditions: monthly inflows fell to $80 million during a downturn, then climbed to $3.5 billion in April.
Shelf registration, tax treatment, and payout changes
He also pointed to a $21 billion shelf registration tied to STRC, saying it expanded issuance capacity beyond limits commonly seen in credit markets. On the tax side, Saylor said dividends are treated as return of capital, which allows tax deferral compared with more traditional income instruments.
One proposed adjustment would change dividends from monthly payments to semi-monthly distributions. That move still needs shareholder approval, with a vote expected in early June.
A three-layer digital credit system
Beyond the product itself, Saylor described a broader three-layer model. In that framework, Bitcoin functions as capital, STRC functions as credit, and a third layer would consist of future digital yield products built on top. The presentation positioned STRC not as a standalone preferred instrument, but as the middle layer in a wider system built around digital capital and cash-generating products.