MicroStrategy Pushes 2x Monthly Payouts for STRC Holders

MicroStrategy (now Strategy) has proposed switching its Stretch preferred stock (STRC) from monthly to semi-monthly dividend payments. The change would double payout frequency while keeping the annualized 11.5% rate unchanged.

The company filed a preliminary proxy on April 17, 2026. Shareholders will vote at the annual meeting on June 8.

Why MicroStrategy Wants to Pay STRC Semi-Monthly Dividends

Under the current monthly schedule, STRC experiences predictable ex-dividend price drops. Each cycle creates a dip as holders sell after receiving payments. A recovery follows as buyers chase the next yield window.

Semi-monthly payouts would cut each individual dividend in half. Smaller, more frequent distributions should reduce those swings.

Strategy says the move is designed to stabilize price near $100 par, dampen cyclicality, and improve liquidity.

STRC has already shown declining volatility since its July 2025 launch. The 30-day measure dropped from roughly 13% in its early months to about 2.1% recently.

The stock traded near $99.21 with an effective yield of approximately 11.59%.

What STRC Holders Should Know

If approved, the first semi-monthly record date would be June 30, 2026. The first payment under the new schedule is expected on July 15. Total annual dividend obligations remain identical.

Strategy currently has about $6.35 billion in outstanding STRC notional value. The company uses STRC proceeds to purchase Bitcoin (BTC), adding to its treasury of more than 762,000 coins.

STRC Notional Value. Source: MicroStrategy

Voting opens around April 28. Shareholders of record as of April 17 can participate through the definitive proxy materials on Strategy’s website.