Leading Bitcoin treasury company Strategy (MSTR) has filed a proxy statement that, if approved, would allow it to pay semi-monthly dividends on its STRC “Stretch” series preferred stock.
The move does not affect STRC’s annual dividend obligation or payout rate (currently 11.5%), Executive Chairman Michael Saylor noted. Rather, he said, “the proposed changes are aimed at stabilizing prices, reducing business cycles, increasing liquidity and expanding demand.”
The high-yield stock is unusually popular, with its outstanding notional value rising to $6.4 billion as of this afternoon’s filing, according to the presentation.
Volatility has fallen from 13% in the first eight months of the series to just 2.1% in the past two months. But Thaler and his team argue that semi-annual payments could further reduce volatility.
Voting on the proposed amendments closes on June 8th, and the first payment date under the new plan is July 15th.
MSTR stock rose 11.8% on Friday to $77,400, along with Bitcoin’s 3% rise.
