Strategy is seeking shareholder approval to change the dividend structure on four preferred securities so that distributions accrue daily rather than under the existing schedule. The proposal covers STRF, STRC, STRK and STRD and is intended to make the instruments function more like continuously accruing income products.
CoinDesk reported that STRC would be the first security to move to daily record dates if shareholders approve the plan. The company has been trying to bring STRC closer to its $100 reference level after the preferred stock remained below that mark despite a 12% dividend rate and roughly $1 billion in repurchases.
Cointelegraph reported that Strategy wants the change applied across all four preferred stocks, while Decrypt said the daily accrual mechanism would include weekends and holidays. When a record date falls on a non-business day, payment would generally occur on the next business day.
Strategy has framed the change as a way to reduce reinvestment lag and improve liquidity, market efficiency and price stability. Importantly, the proposal does not change the stated dividend rates or the company’s regular aggregate payment obligations; it changes the timing and accrual mechanics.
The proposal matters to the broader crypto market because Strategy remains one of the largest publicly traded corporate holders of bitcoin and uses capital-market instruments as part of its bitcoin-focused balance-sheet strategy. Investors will now watch the shareholder vote and whether a daily accrual structure changes demand for Strategy’s preferred securities.