What Is STRC? Strategy's Stretch Preferred Stock for Bitcoin Investment

STRC is a Strategy Inc. preferred stock designed for investors seeking regular income with low volatility. With an 11.5% annual dividend and a stable target price of $100, this instrument offers an alternative to the more volatile MSTR.

However, in June 2026, STRC plummeted below $100, testing Bitcoin Strategy's design and funding strategy.

This article will review what STRC is, how it differs from MSTR, the dividend mechanism, and the risks you need to understand before investing.

Key Takeaways

• STRC is Strategy Inc. (formerly MicroStrategy) preferred stock with a variable dividend designed to trade around $100 per share.

• STRC's current dividend rate is 11.5% per annum (~$0.96 per share per month), well above the average bank deposit.

• STRC differs from MSTR: STRC focuses on fixed income with low volatility, while MSTR provides direct exposure to the price of Bitcoin with high volatility.

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What is STRC?

STRC isticker Nasdaqfor preferred stock issued by Strategy Inc., the company formerly known as MicroStrategy. Officially, STRC stands for "Strategy's Variable Rate Series A Perpetual Stretch Preferred Stock."

The instruments were first sold to the public in July 2025 at an offering price of $90 per share, raising approximately $2.5 billion in a single transaction—making it the largest IPO in the US so far in 2025. As of June 2026, the total value of outstanding STRCs had exceeded $10.4 billion.

STRC is designed for investors seeking regular income with lower volatility than Strategy (MSTR) common stock.

STRC holders rank higher than MSTR holders in the company's hierarchy of claims: if Strategy is liquidated, STRC holders get paid before common shareholders.

Read also: Saylor Predicts Bitcoin Will Reach $13 Million Per Coin in 21 Years

STRC vs MSTR: What's the Difference?

MSTR vs STRC: Comparison

MSTR is a common stock strategy. There is no promise of fixed income; the investment value fluctuates with Bitcoin, and the risk is higher.

STRC works on a different logic: you provide capital to the Strategy and get rewarded with monthly dividends.

One important clause:STRC is not collateralized by any Bitcoin held by Strategy.

Strategy explicitly states in its prospectus: their preferred shares "are not collateralized by the Company's bitcoin holdings."

Read also: Top Crypto Influencers of 2026 to Follow for Market Insights

STRC Dividend: How It Works and History

Strategy sets STRC's dividend rate each month with one primary goal: to keep STRC's price around $100 per share.

If STRC's price falls due to weak market sentiment, Strategy could raise the dividend to regain its attractiveness. If demand is too high and the price exceeds $100, the dividend could be lowered.

STRC dividend rate history:

STRC Dividend History

The dividend rate rose for seven consecutive months from 9.00% to 11.50%, then stabilized at that figure.

In concrete numbers: one $100 STRC note earns about $11.50 per year, or about $0.96 per month.

This figure far exceeds the average rupiah deposit interest rate at major Indonesian banks, which currently ranges from 4 to 6% per year.

Starting July 2026, dividend payments will shift from monthly to bimonthly, after approval at the annual meeting on June 8, 2026.

Read also: MicroStrategy Tokenized Stock (MSTRon) Price Prediction 2026 - 2030

STRC Plunges Below $100: What Happened?

In June 2026, STRC fell below $100, breaking the level it was designed to defend. Prices briefly reached $80–$85, well below the target.

This decline raised concerns about Strategy's funding model for purchasing Bitcoin.

If STRC's price continues to decline, Strategy may need to raise the dividend again. If dividend costs rise, the company needs stable cash flow or additional capital.

That could lead to the issuance of new common shares (dilution) or—in a worst-case scenario—the sale of Bitcoin.

The 8-K Strategy report document (June 15, 2026) confirmed that their $55 billion Bitcoin reserves are still sufficient to cover $1.7 billion in operating expenses for the next 32 years.

However, the market is not yet fully convinced, as STRC prices are still stuck at a fairly deep discount.

Read also: How to Buy MicroStrategy Stock Through Crypto Using the MSTR Token

How Does STRC Work in Bitcoin Strategy?

Strategy holds over 846,842 Bitcoins (as of June 8, 2026) not because it has that much cash.

Most of the accumulation is funded through three instruments:

1. 0% interest convertible bonds— Strategy borrowing billions of dollars without interest.

2. Program ATM (At-the-Market)— sells new MSTR shares to the market every week.

3. Issuance of preferred shares such as STRC— raise capital from retail and institutional investors.

Funds from the sale of STRC were used to purchase more Bitcoin.

More Bitcoin on the balance sheet means the BTC value per MSTR share increases, without dilution to existing MSTR holders.

This is why Strategy calls the transition to “preferred capital” the core of their strategy by 2026.

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Can Indonesian Investors Buy STRC?

STRC is listed on Nasdaq and is available on most international brokerage platforms.

Unlike MSTR, which can be accessed through Pintu in the form of MSTRON, STRC is not yet available in stock token format in Indonesia.

To purchase STRC, Indonesian investors need to open an account with a global broker with a minimum of around $100 per share.

Read Also: How to Invest in Global Stocks with a Small Amount of Capital Through Tokenized Stocks

Conclusion

STRC is Strategy Inc.'s preferred stock with a variable dividend designed to trade around $100 per share.

With a dividend rate of 11.5% per annum, STRC offers an alternative for investors seeking regular income with lower volatility than MSTR.

However, STRC's drop below $100 in June 2026 tested this plan.

Strategy may need to raise dividends higher, which could increase cash costs and potentially trigger dilution or even a sale of Bitcoin.

For Indonesian investors, STRC is not yet available on local platforms, buyers need a global broker account.

STRC vs MSTR have very different risk profiles: MSTR for leveraged Bitcoin exposure, STRC for low-volatility fixed income.

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FAQ

What is STRC?

Strategy Inc. (MicroStrategy) preferred stock with a variable dividend is designed to trade around $100 per share. Nasdaq ticker: STRC.

What is the difference between STRC and MSTR?

MSTR is a common stock with direct exposure to Bitcoin and high volatility. STRC is a preferred stock with a fixed dividend (11.5% per year) and low volatility.

How much is STRC's dividend?

11.5% per annum as of June 2026, or approximately $0.96 per share per month. The dividend rate is subject to change monthly.

Is STRC collateralized by Bitcoin Strategy?

No. Strategy's prospectus states that STRCs are not collateralized by their Bitcoin holdings.

Why did STRC drop below $100?

Market pressure in June 2026 pushed STRC to $80-$85, signaling that the 11.5% dividend rate was no longer attractive enough for investors.

Can Indonesian investors buy STRC?

Yes, through global brokers. STRC is not yet available on local platforms like Pintu.

What are the main risks of STRC?

Dividends can be reduced at any time. The price could fall below $100 if the market loses confidence. Strategies could include increasing dividends, increasing cash costs.

What is Bitcoin Yield?

A metric that measures the growth of Bitcoin holdings per share over time. As of May 25, 2026, the Bitcoin Yield Strategy reached 13.3% year-to-date.

How many Bitcoins does Strategy own?

846,842 BTC as of June 8, 2026, approximately 4% of the total Bitcoin supply ever to exist.

Who is Michael Saylor?

Founder and Executive Chairman of Strategy Inc., the most vocal Bitcoin supporter in the corporate world.