MicroStrategy Proposes Semi-Monthly STRC Dividends at 11.5% Yield to Reduce Volatility
MicroStrategy filed a preliminary proxy on April 17 to switch STRC preferred stock dividends from monthly to semi-monthly, maintaining an 11.5% annual yield and aiming to stabilize price fluctuations around $100. STRC’s 30-day volatility has fallen from roughly 13% at launch to about 2.1% as of April.
1. Proxy Filing and Voting Timeline
MicroStrategy filed a preliminary proxy on April 17, 2026, proposing the dividend frequency change for STRC preferred stock. Shareholders will vote on the plan at the annual meeting on June 8; the first semi-monthly record date is scheduled for June 30 with the initial payment on July 15.
2. Dividend Frequency and Rate
Under the proposal, STRC distributions would shift from one monthly payment to two semi-monthly payments, each half the size of the current dividend. The annualized yield remains unchanged at 11.5%, preserving total shareholder income.
3. Price Volatility and Liquidity
STRC’s 30-day volatility has declined from approximately 13% at its July 2025 launch to nearly 2.1% recently. MicroStrategy expects smaller, more frequent payouts will dampen ex-dividend sell-offs, stabilize trading around the $100 par value, and enhance liquidity.
4. Outstanding Notional and Bitcoin Treasury
STRC has about $6.35 billion in outstanding notional value, with proceeds directed to the company’s Bitcoin treasury. MicroStrategy’s digital asset holdings have grown to over 762,000 BTC, underpinning the preferred stock’s asset-backed profile.