strc has become more than a financing tool for Strategy. On Monday, the company’s preferred security helped drive a new round of Bitcoin buying, after STRC trading surged to record volume and pointed to the largest single-day purchase since launch.
The move landed at a sensitive moment for investors watching how far the company can push its balance sheet while keeping its preferred stock program active. It also underlined how closely Strategy’s capital-raising machine is tied to Bitcoin price action, dividend obligations, and the market’s appetite for risk.
What did Strategy do with STRC?
Strategy purchased 13, 927 Bitcoin for about $1 billion at an average price of $71, 902 per coin between April 6 and April 12. The purchase was funded entirely by sales of its Stretch perpetual preferred stock, known as STRC.
The company sold 10, 028, 363 STRC shares for about $1 billion through at-the-market sales. As of April 12, $21. 6 billion worth of STRC shares remained available for issuance and sale under that program. Strategy sold no shares of Class A common stock, MSTR, last week, leaving $27. 1 billion available under that ATM program.
The latest buy lifted Strategy’s total holdings to 780, 897 BTC, acquired for about $59. 02 billion at an average cost basis of $75, 577. That position represents more than 3. 7% of Bitcoin’s total 21 million supply and implies around $3. 6 billion of paper losses at current prices.
Why does STRC matter now?
STRC, a variable-rate cumulative preferred stock offering monthly dividends, has increasingly been used as a driver of Strategy’s Bitcoin acquisitions alongside its MSTR ATM in recent months. In practical terms, that means the company is leaning on a funding channel designed to keep capital flowing even as market conditions change.
The trading signal around strc was especially strong on Monday. Stretch posted record volume of $1. 16 billion, more than four times the 30-day average of $278 million, while the stock held its $100 par value throughout the session. The surge coincided with what was estimated to be the company’s biggest single-day buying splurge through its ATM program, with an added 7, 800 BTC noted by STRC. live.
That kind of activity matters because it shows how sensitive the strategy is to demand for the preferred shares. When that demand is strong, Strategy can keep buying. When it weakens, the capital pipeline becomes harder to count on.
How are investors and executives framing the risk?
Executive Chairman Michael Saylor tried to reassure investors over the weekend. “Our BTC Breakeven ARR is around 2. 05%, ” he said on X. “If bitcoin grows faster than that over time, we can cover our dividends indefinitely without issuing new MSTR shares, ” he added.
At a recent Mizuho investor event, Saylor said Bitcoin likely bottomed around $60, 000, pointing to a pattern in which downturns end with the exhaustion of forced sellers. He also dismissed quantum computing risks as “theoretical” and solvable over time.
Not all voices were equally upbeat. On Friday, analysts at TD Cowen cut their Strategy price target by 20% to $350, citing weaker Bitcoin assumptions and a revised valuation for future dollar BTC gains. Even so, TD Cowen said public Bitcoin and Ethereum treasury companies represent operating activities that add value to investors and their underlying digital asset ecosystems, and that the sector is likely here to stay and could command increasing investor attention over time.
For now, the company’s model is clear: use STRC, raise cash, buy Bitcoin, and defend the dividend structure with the expectation that Bitcoin appreciation will do the heavy lifting. The question is not whether Strategy can keep buying in the near term, but how long the market will keep rewarding that cycle. On a day when strc hit record volume, the answer looked open-ended, but not settled.
