Strategy’s STRC perpetual preferred stock returns to $100, may trigger more bitcoin buying

MicroStrategy's (MSTR) perpetual preferred equity, STRC, returned to its $100 par value in pre-market trading for the first time since early November. This recovery is significant because reaching par allows Strategy to issue new shares through at-the-market (ATM) offerings specifically to acquire more Bitcoin. STRC, which is branded as short-duration, high-yield credit, currently offers an 11% annual dividend that is reset monthly to encourage trading around the $100 mark and manage volatility. Since its introduction in July, MSTR has increased the dividend five times, and the stock has risen 16% since inception, offering an effective yield of about 11%. On the day of the report, MSTR's common stock was up 4% in pre-market trading to $165, while STRC was trading flat at $100.

(Source：CoinDesk)