MicroStrategy Funds $255M Bitcoin Purchase with 11.5% Dividend Equity
MicroStrategy purchased $255 million of Bitcoin through a common equity issuance following 11.5% dividend–paying STRC preferred acquisitions. Tokenized yield platforms like Apyx Finance and Strive’s SATA product appear to be smoothing post–ex-dividend demand for the firm’s shares.
1. Equity-Funded Bitcoin Purchase
MicroStrategy executed a $255 million purchase of Bitcoin by issuing common equity, marking a shift from prior reliance on its 11.5% dividend–paying STRC perpetual preferred instrument. This move increases the company’s Bitcoin holdings while widening its capital base.
2. STRC Preferred Instrument and Dividend Mechanics
The STRC perpetual preferred instrument carries an 11.5% annual dividend, historically creating pre–ex-dividend buying pressure and a post–ex air pocket. This week, Bitcoin has held price support following the STRC ex–dividend date, suggesting smoothing of demand.
3. Rise of Tokenized Demand and Competition
Platforms like Apyx Finance are layering extra yield onto Strategy’s instruments, resembling crypto–stablecoin products that may stabilize share demand. Meanwhile, Strive’s SATA product and its 14,000+ BTC treasury position have emerged as a notable competitor in corporate Bitcoin holdings.