MicroStrategy Doubles Down on Bitcoin Despite Recent Price Struggles
MicroStrategy plans to increase its Bitcoin holdings by hiking its STRC dividend to fund new purchases despite recent price stagnation.Summary
MicroStrategy, an enterprise software firm heavily invested in Bitcoin, signaled its intent to acquire more BTC, as indicated by Executive Chairman Michael Saylor's cryptic social media post. This move comes as the company's 712,647 BTC holdings, acquired at an average cost of $76,037, are only slightly above the current trading price of approximately $78,000, narrowing unrealized gains to under 3%.
To finance further acquisitions, MicroStrategy increased the dividend on its Series A Perpetual Stretch Preferred Stock (STRC) by 25 basis points, bringing the yield to 11.25% for February 2026. The STRC product has been a primary capital-raising engine, funding over 27,000 BTC purchases since its November debut.
Critics caution that the high cost of servicing these elevated dividends could strain cash flow if Bitcoin's price remains flat or falls below the firm's cost basis. Nevertheless, Saylor's actions suggest MicroStrategy's strategy remains focused on accumulating more Bitcoin.
(Source：BeInCrypto)