- Michael Saylor’s firm (Strategy) purchased 130 BTC at around US$82,981 each and introduced STRF, a new funding instrument offering a 10% annual dividend.
- Amid a market downturn with BTC below US$85K and a 30% drop in stock value, Strategy has slowed its Bitcoin acquisitions.
- Meanwhile, Metaplanet acquired 150 BTC on March 18, boosting its total to 3,200 BTC with a goal to reach 10,000 BTC by 2025.
Strategy (formerly, MicroStrategy) bought 130 more Bitcoin (BTC) on Monday, pushing its total holdings to nearly half a million.
The company did so through a new fundraising method to finance additional BTC purchases.
As the company announced, the Perpetual Strife Preferred Stock (STRF) offers a fixed 10% annual cash dividend, paid quarterly. If dividends go unpaid, they compound at an additional 1% per year — up to a maximum of 18%.
The first dividend payment is scheduled for June 30, 2025, and is expected to trade on Nasdaq within 30 days, offering investors high-yield Bitcoin exposure, with Morgan Stanley, Barclays, Citigroup and Moelis & Company as joint book-running managers under an SEC shelf registration.
Related: Standard Chartered Adjusts 2025 Price Estimates for Ethereum, Bitcoin
MicroStrategy Improvising
Unlike its earlier preferred series (STRK), which offered only an 8% interest rate, and its convertible debt offerings that came with negligible or 0% interest, STRF provides a higher yield… that’s basically all of it.
STRF holders don’t even have voting rights, yet they receive priority in liquidation with a US$100 (AU$157) per share preference. So, Strategy retains the right to redeem STRF if fewer than 25% of the original shares remain or if tax events occur, while holders can demand a buyback in the event of a fundamental change.
This comes as Strategy has slowed down its Bitcoin purchases amid the broader market downturn, which has pushed BTC below the US$85K (AU$133K) level. CoinMarketCap data shows the asset is now priced at US$82K (AU$128K), a 12% decline in the last 30 days. Similarly, Strategy’s stock has also tumbled by over 30%.
Related: Altcoin ETFs: Canary Files for SUI Fund, Hashdex Amends S-1 for Index ETF
Metaplanet, which is sort of the Japanese version of Strategy but less wild (I assume), recently acquired an additional 150 BTC for 1.88 billion yen (AU$19.7M) on March 18, at an average price of US$83,671 (AU$131,484) per BTC.
This brings the firm’s total holdings to 3,200 BTC, currently valued at approximately US$261.8M (AU$411M).
Metaplanet has a clear goal: to expand its Bitcoin holdings to 10,000 by 2025, as the company revealed. Yes, this same year. Would they go on a Bitcoin buying spree? That remains to be seen.
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