Strategy Declares Daily STRC Dividends at 12% for November

Updated Oct. 16, 8:09 AM ET: expanded with details on STRC mechanics and implications for Strategy's Bitcoin treasury.

Strategy Inc. filed an 8-K with the SEC on Oct. 15, setting the dividend rate on its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) at 12% per annum for November 2026. Under the proposed daily payment structure, total dividends for November would reach $1.00 per share — approximately $0.03⁠–⁠0.04 for each calendar day.

Details

Strategy's board declared a shift to daily STRC dividend payments. Instead of semi-monthly distributions, shareholders would receive a dividend accrued for each day in November, payable on the next business day. The first payment is scheduled for Nov. 2 (covering Nov. 1), with the last on Dec. 1 (covering Nov. 30). Some payments for consecutive days may be combined due to federal holidays.

The dividends are contingent on two conditions being met simultaneously: - Shareholders approve the Daily Dividend Amendments at a special meeting on Oct. 28, 2026 by 5:00 p.m. New York time. - The amended certificate of designations is filed and takes effect before 12:01 a.m. ET on Nov. 1.

If both conditions are not met, the daily dividends will not be paid, and the previously declared semi-monthly dividend — with a record date of Oct. 31 and a payment date of Nov. 15 — will remain in effect. Strategy said management intends to keep the STRC rate at 12% until the stock shows sustained trading near $100 per share.

Strategy also clarified the expected tax treatment: if the conditions are met, the November daily dividends are expected to be treated as non-taxable returns of capital for U.S. federal tax purposes, to the extent of each shareholder's tax basis. Shareholders are advised to consult their own tax advisors.

The full 8-K is available at SEC EDGAR.

What This Means for the Market

STRC is one of Strategy's primary instruments for raising capital to purchase Bitcoin. The company is the world's largest corporate Bitcoin holder. A daily dividend format makes STRC more attractive to institutional income investors, potentially broadening demand for the instrument and supporting Strategy's ability to fund further Bitcoin acquisitions.

The Oct. 28 shareholder vote will determine STRC's dividend structure for at least November. For live Bitcoin price data, visit CoinLab.