Strategy (MSTR) disclosed in an SEC 8-K filing dated April 28 that it purchased 3,273 bitcoin between April 20 and April 26 for approximately $255 million, at an average price of $77,906 per coin.
Holdings Exceed 818,000 BTC, Unrealized Profit Hits $1.9B
Executive Chairman Michael Saylor confirmed that the company now holds a total of 818,334 bitcoin, valued at roughly $63.7 billion at current prices. Since initiating its bitcoin treasury strategy in 2020, Strategy has invested about $61.8 billion, achieving an average cost basis of $75,537 per bitcoin.
The latest purchase brings Strategy's unrealized profit to approximately $1.9 billion. Its holdings now represent 3.9% of bitcoin's total 21 million supply.
Funding via Stock Sales, STRC Preferred Shares Take Lead
The $255 million used for this buy came entirely from sales of common stock MSTR. Last week, the company sold about 1.45 million MSTR shares, and as of April 26, it still has $26.47 billion worth of MSTR shares available for issuance and sale.
Strategy operates four perpetual preferred stock series: STRK, STRC, STRF, and STRD, with issuance sizes of $21 billion, $4.2 billion, $2.1 billion, and $4.2 billion, respectively. These instruments form part of the "42/42" capital plan, aiming to raise $84 billion by 2027 through stock and convertible bonds to buy more bitcoin.
Although the company did not sell any perpetual preferred shares last week, STRC has recently become the main funding engine. STRC is a floating-rate, monthly-dividend cumulative preferred stock with a dynamic yield that keeps its price close to the $100 par value. Currently, STRC offers an annual yield of 11.5%, attracting institutional capital seeking stable returns.
STRC Dividend Frequency May Shift to Semi-Monthly, First Payout in July
To boost STRC's liquidity, Strategy proposed changing its dividend frequency from monthly to semi-monthly. The company says this adjustment shortens the reinvestment lag for investors, improves market efficiency, and helps stabilize the share price.
The proposal will be voted on at the annual shareholders meeting on June 8. If approved, the first ex-dividend date under the new schedule would be June 30, with the first semi-monthly dividend paid on July 15.