Strategy is preparing for another potentially large bitcoin purchase after pricing a preferred stock offering expected to bring in roughly $2.474 billion in net proceeds. The company, formerly known as Microstrategy and now rebranded as Strategy, said on July 25 that it had priced 28,011,111 shares of its Variable Rate Series A Perpetual Stretch Preferred Stock, or STRC, at $90 per share. The transaction was finalized on July 24 and is expected to close on July 29, subject to customary closing conditions.
A Fresh Capital Raise With Bitcoin in Focus
According to the company’s announcement, the offering is expected to generate approximately $2.474 billion in net proceeds after underwriting discounts, commissions, and estimated offering expenses. Strategy said the funds would be used for general corporate purposes, explicitly including the acquisition of bitcoin as well as working capital needs.
That language is significant because it leaves little doubt about management’s priorities. Strategy has spent years building a corporate identity around bitcoin accumulation, repeatedly using capital markets activity to expand its holdings. By again naming bitcoin as a use of proceeds, the company is signaling that its conviction in the asset remains intact despite the scale of its existing position.
Holdings Continue to Climb
The latest financing move comes shortly after another substantial bitcoin purchase. As of July 20, Strategy disclosed that it had acquired an additional 6,220 BTC for approximately $739.8 million, implying an average purchase price of about $118,940 per bitcoin.
Following that transaction, Strategy’s total bitcoin holdings rose to 607,770 BTC. The company said those holdings were accumulated for approximately $43.61 billion in aggregate, at an average cost basis of roughly $71,756 per BTC. Those figures reinforce Strategy’s position as one of the most prominent corporate holders of bitcoin in the market.
The numbers also underline the scale of the company’s bet. With more than six hundred thousand bitcoin on its balance sheet, any additional purchase funded by this new offering would further deepen its exposure to the asset and strengthen the market’s view of Strategy as a publicly traded proxy tied closely to bitcoin performance.
How the STRC Security Is Structured
The newly issued STRC preferred stock carries a stated amount of $100 and offers an initial annual dividend rate of 9.00%. Dividends are set to be paid monthly beginning on Aug. 31. Strategy also said it has the ability to adjust the dividend rate each month, though that flexibility is subject to limits connected to market benchmarks.
If dividends are not paid when due, they will accrue and compound until fully satisfied. The structure also includes redemption features and additional investor protections. Among them is the company’s ability, after listing, to redeem shares at no less than $101 plus accrued dividends. Other protections apply if tax laws change or if major corporate events occur. In addition, the liquidation preference is designed to adjust based on recent trading activity, a mechanism intended to help preserve shareholder value.
Why the Market Is Watching Closely
For market participants, the immediate question is not whether Strategy intends to keep buying bitcoin, but how quickly it may deploy the new capital once the offering closes. Since the company has directly stated that bitcoin acquisition is among the intended uses of proceeds, investors will likely watch for any follow-up disclosure on timing, size, and execution of the next purchase.
The offering also reflects a broader pattern in Strategy’s corporate playbook: raising capital through public markets, then channeling a meaningful portion of that capital into bitcoin. Supporters view this as a highly disciplined long-term allocation strategy tied to the company’s strong view on bitcoin’s role as a durable store of value and a generational asset. Critics, meanwhile, may continue to focus on the risks associated with concentrated exposure and the company’s growing reliance on market-based financing.
Still, the facts disclosed in the latest announcement are straightforward. Strategy has secured a major preferred stock deal, expects to net $2.474 billion, and has made clear that bitcoin remains central to its use of funds. Combined with its already massive treasury of 607,770 BTC, the new raise suggests that the company is not easing its pace. Instead, it appears to be reinforcing one of the most aggressive bitcoin accumulation strategies seen among publicly traded firms.
As the expected closing date approaches, attention will likely center on whether the company announces another purchase soon after settlement. If it does, that would mark yet another chapter in Strategy’s ongoing effort to expand its bitcoin reserves through large-scale capital formation.