MicroStrategy Issues STRC to Fund $7.2B Bitcoin Buys, Obligations at 33%
MicroStrategy has purchased $7.2 billion in Bitcoin over eight weeks, raising its holdings to 818,334 BTC—181,666 coins short of one million. It financed the buying spree by issuing STRC at an 11.5% yield, driving obligations to 33% of its $63 billion in Bitcoin assets.
1. Bitcoin Purchases Boost MicroStrategy Holdings
Over the last eight weeks, MicroStrategy has acquired $7.2 billion worth of Bitcoin, lifting its total to 818,334 BTC. This surge contributed to Bitcoin’s roughly 20% price rebound from February lows, with current trading near $76,000 per coin.
2. STRC Issuance as Funding Mechanism
The company has financed its Bitcoin accumulation by issuing STRC at an attractive 11.5% yield, outpacing US spot ETF inflows by a tenfold margin. Strong demand for STRC underscores investor appetite for yield in a low-rate environment.
3. Debt Obligations and Risk Dashboard
Total debt and preferred-equity liabilities stand at $21 billion, representing 33% of the firm’s $63 billion Bitcoin holdings. Analysts project room for an additional $10–15 billion in STRC issuance before obligation ratios approach levels that could trigger investor scrutiny.