STRF · MicroStrategy Incorporated

On June 29, 2026, Strategy Inc announced a comprehensive Digital Credit Capital Framework designed to strengthen its preferred securities, enhance liquidity, and preserve long-term Bitcoin exposure. The framework consists of five key components: a Board-approved USD Reserve policy that mandates a minimum of 12 months of preferred dividend and interest coverage (with a $2.55B reserve as of June 28, 2026), a revised STRC dividend policy that will be evaluated monthly, a $1.0B repurchase program for digital credit securities (STRC, STRF, STRD, STRK) with STRC as initial priority, a $1.0B repurchase program for class A common stock, and a BTC monetization program authorizing up to $1.25B in bitcoin sales to fund the USD Reserve, with additional sales allowed for dividends, interest, and repurchases. Concurrently, the company increased the STRC dividend rate to 12.00% per annum effective July 1, 2026, and declared conditional semi-monthly cash dividends of $0.50 per share for periods ending July 31 and August 15, 2026. The company also updated its ATM program and bitcoin holdings, reporting 847,363 BTC at an aggregate cost of $64.1 billion. This framework signals a more active capital allocation strategy, potentially reducing bitcoin exposure through monetization while using repurchases to support security prices. Investors should note the contingent nature of the dividend declarations pending certificate effectiveness.