Strategy (MSTR) has proposed a shift from monthly to semi-monthly dividends for its popular STRC preferred stock, aiming to stabilize prices and enhance liquidity. Executive Chairman Michael Saylor emphasized that while the annual yield of 11.5% remains unchanged, this adjustment is designed to further reduce volatility, which has already dropped significantly to 2.1% over the past two months.
This strategic move comes as the outstanding notional value of STRC has surged to $6.4 billion, reflecting strong demand from investors. The proposed change is expected to be voted on by June 8, with the first semi-monthly payment anticipated on July 15. The recent rise in MSTR shares by 11.8% alongside a bullish bitcoin market indicates a favorable environment for digital asset treasury firms, which could benefit from increased liquidity and reduced price fluctuations.
Market professionals should monitor the outcome of the vote closely, as the approval of semi-monthly dividends could enhance STRC’s appeal and further stabilize its performance amid the evolving cryptocurrency landscape.
Source: coindesk.com