Exchanges· ★★★· bearish·

K33: Strategy's STRC dividends could erase its Bitcoin edge in seven months

  • —Strategy held 848,250 BTC on Oct. 12; without STRC it would have 843,303 BTC
  • —Annual preferred-stock dividends rose to about $1.56 billion from $830 million
  • —STRC expansion added $725 million in obligations, equal to 8,735 BTC
  • —Dollar reserve covers dividends for 42 months at 4% yield versus a 12% payout rate
Why it matters: Strategy's preferred-stock model for buying Bitcoin is getting costlier, and rising dividend obligations could force the company to slow its BTC purchases.
#BTC
Source: BTC-ECHO
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