TL;DR
- Liquidity Shift: Strategy introduced a new capital framework focused on liquidity strength, dividend protection, and long-term BTC exposure.
- BTC Monetization: The firm may sell up to $1.25 billion in BTC to boost reserves, fund dividends, and repurchase securities, raising total coverage to $3.8 billion.
- Dividend & Market Moves: The company increased the STRC dividend rate to 12% and maintained a $2.55 billion reserve during a volatile period for MSTR and STRC.
Strategy is shifting gears after weeks of market turbulence, unveiling a new capital approach designed to protect its long-term BTC exposure without abandoning its trademark Bitcoin-first philosophy. The move surprised many observers who expected another BTC purchase, especially after Michael Saylor hinted at fresh activity on X. Instead, the firm introduced a framework centered on liquidity strength, dividend protection, and disciplined monetization, signaling a more defensive posture during a volatile stretch for both MSTR and STRC.
Strategy announces a Digital Credit Capital Framework designed to strengthen Digital Credit, enhance liquidity, preserve long-term Bitcoin exposure, and support long-term value creation. $MSTR $STRC https://t.co/AUoUCtem53
— Michael Saylor (@saylor) June 29, 2026
Digital Credit Capital Framework Marks a Strategic Pivot
Strategy said it has launched the Digital Credit Capital Framework to reinforce digital credit, enhance liquidity, and preserve long-term BTC exposure. The company emphasized that the framework is meant to support long-term value creation, even as critics argue that Strategy may eventually need to sell tens of thousands of BTC to cover obligations. A key component is the BTC Monetization Program, which allows Strategy to sell Bitcoin to fund its USD reserve, dividends, interest expenses, or repurchase Digital Credit securities and MSTR. The monetization cap sits at $1.25 billion, and combined with the existing cash reserve, tthe company now has up to $3.8 billion in dividend coverage, equal to nearly 26 months.
Cash Reserve Strengthens as STRC Dividend Rate Rises
Strategy reported that its USD reserve has grown to $2.55 billion, enough to cover 17.4 months of dividends and interest payments. The reserve can only be used for those obligations and must remain at a minimum of 12 months unless the board decides otherwise. The company also increased the STRC dividend rate to 12%, up from 11.5%, effective for the July 2026 record date. Strategy said it will evaluate the rate monthly, aiming to keep Stretch trading near $99-$100 after STRC recently fell more than 25% below par.
Market Volatility Pushes Strategy Toward Defensive Measures
The new framework arrives during a sharp downturn for Strategy’s securities. MSTR has slid almost 50% year-to-date, while STRC dropped to $71.25 on Friday. Despite the turbulence, Strategy has continued accumulating BTC, adding a net 3,625 BTC in June. The company also raised $1.15 billion in net proceeds by selling 12.67 million MSTR shares. Even so, Strategy did not acquire any BTC during the week ended Sunday, leaving its holdings unchanged at 847,363 BTC purchased for $64.1 billion.
