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Michael Saylor Confirms $1B Raise to Expand Bitcoin Treasury
Michael Saylor’s firm, Strategy, upsizes its STRD stock offering from $250M to $1B to fund Bitcoin acquisitions and corporate growth. Learn about the dividend structure, investor protections, and market implications of this bold move.
The ₿itcoin⚡️ Libertarian 🇦🇷🇸🇻
June 17, 2025
In a bold reaffirmation of its Bitcoin-centric financial strategy, Michael Saylor’s firm, Strategy, has upsized its STRD stock offering from an initial $250 million to a massive $1 billion, signaling sustained institutional interest in Bitcoin as a core treasury asset. The move further cements the company’s position at the forefront of corporate Bitcoin adoption.
Table of Contents
STRD Offering Upsized Amid Strong Demand
On June 6, Strategy Chairman Michael Saylor announced that the company had expanded its STRD (Stride Preferred) stock offering in response to overwhelming market interest. The offering consists of 11,764,700 shares of the 10.00% Series A Perpetual Preferred STRD Stock, priced at $85 per share.
With the offering set to settle on June 10, 2025, Strategy anticipates net proceeds of approximately $979.7 million, assuming all conditions are met. The significant upsize from the original $250 million target underscores growing confidence in the firm’s digital asset roadmap and financial strategy.
Dividend Structure: Flexible Yet Strategic
The STRD stock carries a 10% annual dividend, but with a critical caveat: dividends are non-cumulative and payable only when declared by the board. This provides the firm with financial agility, allowing it to conserve cash during volatile periods or reinvest profits into strategic initiatives such as Bitcoin accumulation.
Quarterly dividend payments are scheduled to begin on September 30, 2025, but investors are advised that missed payments will not accrue and there’s no obligation to repay them in the future.
Use of Proceeds: Bitcoin Acquisitions and Corporate Growth
A substantial portion of the funds raised will go directly toward expanding Strategy’s Bitcoin holdings. The firm disclosed a recent purchase of 705 BTC, valued at $75.1 million, bringing its total Bitcoin portfolio to 580,955 BTC.
This latest purchase brings the average acquisition cost of the company’s BTC holdings to $70,023 per Bitcoin, further illustrating Strategy’s aggressive stance in treating Bitcoin as a long-term store of value and inflation hedge. Remaining funds will be allocated to working capital, general corporate purposes, and strategic growth initiatives.
Investor Protections and Redemption Clauses
In addition to its dividend appeal, STRD stock includes investor protections aimed at managing risk. Strategy retains the right to redeem the stock under specific conditions, such as when outstanding shares fall below 25% of the original issuance or during qualifying tax events. In such cases, investors will be repaid $100 per share plus any declared but unpaid dividends.
Furthermore, in the event of a “fundamental change” in the company—such as a merger or major restructuring—shareholders can demand that their shares be repurchased at the original liquidation preference. Daily liquidation values will also be adjusted based on various market pricing benchmarks to ensure fairness.
Institutional Backing and Regulatory Compliance
The offering has attracted support from major financial institutions including Barclays, Morgan Stanley, Moelis & Company, and TD Securities, who serve as joint book-running managers. Co-managers include Clear Street, AmeriVet Securities, Bancroft Capital, and others, reflecting deep institutional confidence in Strategy’s financial operations and growth trajectory.
The STRD stock operates under an active shelf registration with the U.S. Securities and Exchange Commission (SEC), ensuring compliance with all federal regulatory standards.
Bitcoin as a Treasury Strategy: Saylor’s Vision
Michael Saylor, widely regarded as one of the most vocal Bitcoin advocates in the corporate world, has repeatedly described Bitcoin as “digital gold” and a foundational pillar of economic value. Under his leadership, Strategy has shifted its treasury operations to reflect a long-term commitment to the world’s leading cryptocurrency.
The company’s growing Bitcoin reserves not only bolster its financial position but also offer a hedge against fiat currency devaluation, inflation, and market instability.
Implications for Investors and the Crypto Market
Strategy’s move represents one of the most ambitious corporate Bitcoin accumulation efforts in history. The $1 billion raise via a dividend-yielding, investor-protected equity instrument is a model for how companies can blend traditional finance with crypto-centric strategies.
For crypto investors, it signals increased institutional confidence and potentially foreshadows similar moves by other publicly traded firms. For equity investors, STRD offers both exposure to Bitcoin and potential returns through dividends—though these remain at the discretion of the board.
Conclusion
Michael Saylor’s confirmation of a $1 billion capital raise through STRD stock is more than just a financial maneuver—it’s a strategic message. It demonstrates a continued corporate pivot toward Bitcoin as a treasury reserve asset, institutional confidence in the cryptocurrency market, and innovative use of equity financing to support digital asset expansion.
As Strategy solidifies its position as a digital asset powerhouse, the financial world will be watching closely to see how this bold play unfolds—and whether others will follow suit.
FAQs
What is the STRD Stock offering by Strategy?
STRD is a Series A Perpetual Preferred Stock issued by Strategy, offering a 10% annual dividend (non-cumulative) and priced at $85 per share. The offering has been expanded from $250 million to $1 billion due to strong investor demand.
How will Strategy use the $1 billion in raised capital?
The majority of the proceeds will be used to purchase additional Bitcoin. Remaining funds will support general corporate purposes, working capital, and strategic growth initiatives.
What is the dividend policy for STRD stock?
STRD stock pays a 10% annual dividend, but only when declared by the company’s board. Dividends are non-cumulative, meaning unpaid dividends are not owed in the future.
STRD shareholders have rights to redemption under certain events, such as if shares fall below 25% of the offering or during qualifying tax events. They can also demand repurchase in case of major corporate changes ("fundamental changes").
Why is Strategy investing so heavily in Bitcoin?
Under Chairman Michael Saylor, Strategy views Bitcoin as a long-term store of value and a superior treasury reserve asset compared to cash. The company’s Bitcoin holdings now exceed 580,000 BTC.
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