Strategy has proposed changing STRC preferred stock dividends from monthly payments to two payments per month, while keeping the 11.5% annual dividend rate unchanged. In an April 17 filing, Chairman Michael Saylor said the move is intended to support price stability and improve liquidity for the stock.
Same annual rate, faster cash distribution
Under the current structure, STRC holders receive one dividend payment each month. If shareholders approve the amendment, investors would instead receive smaller payments on a semi-monthly basis. Strategy said the timing shift does not change its total annual dividend obligation; it only changes how often cash is distributed.
Saylor said more frequent payments can reduce reinvestment delays for shareholders. That would allow investors to put capital back to work sooner rather than waiting through a full monthly cycle. He also tied the proposal to lower volatility, stronger trading liquidity, and better demand for STRC shares.
Key dates run from April filing to July payout
Strategy laid out a detailed schedule for the proposed change. The company filed a preliminary proxy with the U.S. Securities and Exchange Commission on April 17, 2026. It expects to submit a definitive proxy on April 28, which would open the voting period.
Shareholders are set to vote through June 8, 2026. If the amendment passes, the revised dividend structure would take effect on June 30, 2026. The first semi-monthly dividend payment is scheduled for July 15, 2026. Until then, STRC will continue using its existing monthly dividend model.
Criticism centers on structure and Bitcoin-linked risk
The proposal arrives as STRC faces criticism over its structure. Bitcoin critic Peter Schiff said the stock’s design could be misleading. He warned that investor lawsuits could follow if dividend cuts or price declines occur.
Schiff also pointed to Strategy’s use of funds to buy Bitcoin. In his view, a decline in Bitcoin’s value could pressure dividend sustainability. While the new proposal only changes payment frequency and leaves the stated annual yield intact, debate over STRC’s structure and Bitcoin exposure has not gone away.