Event Overview
Strategy (formerly MicroStrategy) has officially launched its 'Digital Credit Capital Framework', authorizing the sale of up to $1.25 billion in Bitcoin while establishing a $2.55 billion cash reserve and raising the dividend on its preferred stock STRC to 12%. The company also initiated $1 billion each in preferred and common stock buyback programs. This marks the definitive end of MicroStrategy's long-standing 'never sell Bitcoin' commitment. The shift comes after multiple crises including a sharp decline in STRC price, ballooning annual dividend obligations of $1.2 billion, cash reserve pressure, and ongoing legal investigations, which forced the company to pivot its capital strategy.
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