At a packed Bitcoin 2026 conference in Las Vegas, Michael Saylor announced that Strategy's STRC instrument has reached $8.5 billion in just nine months, making it what he called “the largest and most liquid preferred stock in the world.” This milestone highlights the rapid growth of digital credit as a new asset class.
Digital Credit: Bridging Capital and Credit
Saylor framed the past year as an inflection point for digital credit — credit designed on top of bitcoin as the underlying capital asset. “Digital credit is the killer app of digital capital,” Saylor told attendees. “By combining a public company, bitcoin as a balance sheet asset, perpetual preferred stock, and an ATM issuance program, we’ve created something that never existed before.” Strategy holds 818,334 bitcoins, making it the world’s largest corporate bitcoin holder. Saylor used this position to argue that bitcoin’s returns can be distributed between long-term capital holders and short-term credit investors seeking stable yield.
Overcollateralization Reduces Risk
STRC is built on an overcollateralization model. Saylor noted that a 5-to-1 collateral ratio means the underlying asset could fall 80% and credit investors would still be fully protected. The equity investor absorbs that loss, while the credit holder remains safe. Bitcoin has generated an annualized return of approximately 38% over the past five years, outperforming gold, real estate, and money market instruments. This creates sufficient margin to pay credit investors an 11% yield while the rest accrues to shareholders. By eliminating risk through overcollateralization and active management, Saylor claimed STRC has significantly reduced volatility, with plans to reduce it further.
$3.5 Trillion Market Opportunity
Saylor highlighted the private credit market, which he said exceeds $3.5 trillion globally. He described that market as illiquid, opaque, and largely restricted to qualified investors with high fees. Digital credit, he argued, is liquid, transparent, scalable, and fee-free. “Even if it captures 10% of the private credit market, that’s $350 billion,” Saylor stated. STRC’s issuance shelf has expanded to $21 billion, far exceeding historical standards. The instrument is accessible through major brokerages for retail, institutional, and corporate investors. Saylor also noted that return-of-capital dividends can be structured for tax deferral, allowing investors to receive income without immediate taxable events. Longer-term plans include increasing dividend frequency, expanding into ETFs and indices, and bringing high-yield digital savings instruments to billions of users worldwide.
Strategy on Track for One Million Bitcoin
Strategy has recently acquired 34,164 BTC, bringing its total holdings to 815,061. At the current pace, the company is on track to reach one million coins by December 2026. River noted that STRC inflows have already eclipsed net ETF gains, signaling strong demand for digital credit products.