Strategy Boosts STRC Offering Dividend to Entice Yield-Hungry Investors

In an ambitious move to woo yield-hungry investors, Strategy (MSTR), the renowned bitcoin treasury company, has boosted the dividend on its STRC offering to an enticing annualized 10%. This maneuver, unveiled by Executive Chairman Michael Saylor in a post on social media platform X, is a strategic play to elevate its trading price to the coveted $100 mark. As of today, September 3, 2025, the STRC is hovering around $97, tantalizingly close to its target.

Strategy’s Calculated Move

Strategy’s decision to raise the dividend by a full percentage point is more than just a generous gesture—it’s a calculated strategy to solidify the STRC’s position as a high-yield, low-volatility investment. Investors are already seeing a monthly dividend for September set at $0.8333 per share. According to industry analysts, this increase in payouts is a bold attempt to sweeten the deal and amplify investor interest. This follows a pattern of strategic maneuvers, as detailed in Strategy’s Preferred Shares Form a Bullish Circle Around Bitcoin.

Here’s the catch: Strategy’s STRC offering is underpinned by a robust 5-to-1 bitcoin overcollateralization. For every dollar of dividend promised, there’s approximately $5 worth of bitcoin held in reserve. This overcollateralization is a crucial safety net, ensuring the dividend’s viability and reinforcing investor confidence in an asset class that’s often volatile.

Aiming for the $100 Target

Achieving the $100 price target isn’t merely a milestone for Strategy; it’s a pivotal element of the company’s at-the-money issuance program. If the STRC dips below this level, Strategy’s ability to issue more shares and boost its bitcoin reserves is compromised. The effective yield, currently standing at 10.3%, is a beacon for investors seeking stability amidst the crypto market’s tempestuousness.

Since its debut on July 30, the STRC has climbed roughly 8%, showcasing both resilience and potential. “What we’re witnessing is a strategic push to fortify the STRC’s market position,” notes cryptocurrency analyst Linda Tran. “By increasing the dividend, Strategy is not just incentivizing current holders but also enticing new investors, which could catalyze further price appreciation.”

Expanding the Bitcoin Arsenal

In tandem with the dividend announcement, Strategy revealed the acquisition of an additional 4,048 BTC, boosting its formidable bitcoin holdings to 636,505 BTC. This acquisition underscores Strategy’s unwavering commitment to bolstering its bitcoin treasure trove, a strategy that has defined the company since its inception. This commitment has been consistent, even in the face of legal challenges, as seen when the Strategy Bitcoin lawsuit was dismissed as investors withdrew the case.

The Virginia-based firm’s recent moves have certainly captured the attention of market watchers. According to sources, Strategy’s aggressive buying spree is a testament to its confidence in bitcoin’s long-term value proposition. However, the question remains: can this bullish momentum be sustained, especially if broader market conditions shift?

The Bigger Picture

Beyond the STRC, Strategy also declared quarterly cash dividends for its other offerings: $3.0556 per share for STRD, $2.50 per share for STRF, and $2.00 per share for STRK, all payable on September 30 to shareholders of record by mid-month. These diverse products offer alternative avenues for investors seeking exposure to Strategy’s broader portfolio.

As September unfolds, the crypto community will be keenly watching Strategy’s next moves. With the STRC’s price proximity to its $100 target, the stakes are high. Will the enhanced dividend be the catalyst that propels it over the line? Or will external market forces present unforeseen challenges?

For now, Strategy’s latest gambit is a compelling narrative in the ever-evolving cryptocurrency saga. As the market digests this development, investors and analysts alike will be pondering its implications—not just for Strategy, but for the broader crypto investment landscape.

Source

This article is based on: Strategy Raises Dividend on STRC Offering to Attract Yield-Seeking Investors

Further Reading

Deepen your understanding with these related articles:

• Strategy Investors Drop Lawsuit Over Bitcoin Profitability Promises
• Dutch crypto firm Amdax targets 1% Bitcoin supply with $23M treasury launch
• AMBTS Raises $23.2M to Build Bitcoin Treasury, Targets 1% of BTC in Circulation