Here’s another rewritten version with a tighter, more streamlined financial-news tone:
The decline has temporarily shut down Strategy’s ability to sell STRC shares above par, limiting a key funding channel the company uses to finance bitcoin purchases. The same preferred stock has also contributed to Strategy’s first bitcoin sale this month due to dividend obligations.
Strategy’s Variable Rate Series A Perpetual Stretch Preferred Stock (STRC), used to support its bitcoin accumulation strategy, has fallen to a record low, tightening access to capital for further purchases.
STRC closed at $89 on Wednesday, its weakest level since its launch in July 2025. That puts the stock about 11% below its $100 par value, the level it is designed to track.
Unlike traditional preferred shares with fixed payouts, STRC carries a variable dividend currently set at an annualized rate of about 12.9%, adjusted monthly to help keep the price near par.
The stock’s relationship to par is central to Strategy’s funding model. When STRC trades above $100, the company issues new shares via an at-the-market program and uses the proceeds to buy bitcoin. With the stock now below par, that issuance has been paused, removing one of Strategy’s key accumulation tools. STRC is also among the firm’s most actively traded preferred securities.
The weakness comes at a sensitive moment for the instrument. Dividend payments tied to STRC forced Strategy to sell bitcoin for the first time since beginning its accumulation strategy in 2022. On June 1, the company said it sold 32 BTC for about $2.5 million in late May to fund those payouts, surprising a market accustomed to Michael Saylor’s long-standing commitment not to sell bitcoin.
Earlier this month, Strategy disclosed it had built a $1.1 billion cash reserve to support preferred dividends and debt obligations, even as it continued adding 1,587 BTC through common stock issuance.
The company remains the largest corporate holder of bitcoin, with about 846,842 BTC, roughly 4% of the total supply that will ever exist.
STRC has previously traded below par during periods of bitcoin volatility. Bitcoin has recently held in the $64,000–$65,000 range, while Strategy’s common shares (MSTR) fell about 5% on Wednesday to $116.52.
