Strategy has introduced a new Digital Credit Capital Framework to strengthen its preferred securities, improve liquidity, protect its long-term Bitcoin strategy, and create more value for shareholders. The company said it remains fully committed to Bitcoin as its main treasury reserve asset while adopting more active capital management.
The company has approved a USD Reserve Policy with a cash reserve of $2.55 billion as of June 28, 2026. This reserve can only be used to pay preferred stock dividends and interest on debt unless the board approves another use. The reserve currently covers about 17.4 months of annual dividend and interest payments, and Strategy plans to always maintain at least 12 months of coverage.
Strategy also raised the annual dividend rate on its STRC preferred shares to 12%, effective for dividend periods starting July 1, 2026. The company wants STRC to trade around $99-$100 over time and said future dividend rates will be reviewed every month based on market conditions, Bitcoin prices, credit spreads, and the company’s financial position.
The board has approved up to $1 billion for repurchasing its preferred securities, including STRC, STRF, STRD, and STRK, and another up to $1 billion for buying back MSTR Class A common shares. Strategy said it will repurchase securities only when management believes the buybacks create long-term value and strengthen the company’s capital structure.
Strategy has also authorized a Bitcoin Monetization Program, allowing the company to sell BTC when needed. The program includes up to $1.25 billion of Bitcoin sales to build the USD Reserve, fund preferred dividends and interest payments, replenish reserves, and finance share buybacks when selling Bitcoin is more beneficial than issuing new shares. With the $2.55 billion USD Reserve and $1.25 billion of authorized BTC monetization capacity, Strategy has about $3.8 billion in total liquidity, enough to cover around 25.9 months of current preferred dividend and interest obligations.
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