Strategy, one of the corporate companies with the most assets in the Bitcoin market, is on the agenda again with the value of STRC, a permanent preferred share type. STRC stock reached a nominal price of $100 again in Thursday’s trading, allowing the company to raise existing capital and add more bitcoin to its portfolio.
Maintaining STRC structure and price balance
STRC stands out as a capital instrument that basically makes adjustments to the dividend rate to maintain price stability. If STRC shares trade above $100, the company could reduce the dividend to balance demand. On the other hand, when the price drops below $100, new buyers are encouraged by increasing the dividend. Thanks to this mechanism, it is aimed to keep the price close to $ 100. Thus, the company can use the funds it obtains by selling new shares close to nominal value to directly purchase bitcoin.
Although the STRC price dropped slightly after the dividend date passed on March 13, it reached the nominal level again in nine trading days. This recovery took place in a slightly shorter time on the STRC side compared to the historical average of 10 trading days.
New purchases with STRC and SATA dividend rates
STRC, a short-term high-yield debt instrument, offers 11.5 percent annual dividends paid monthly. This system supports the price approaching the nominal value and allows the company to buy new bitcoins by selling shares directly from the market. By comparison, Strive’s similar product called SATA promises a higher annual dividend of 12.75 percent and is currently trading at $99.25. SATA is also approaching the nominal value in price.
Last week, Strategy acquired a total of 1,031 bitcoins for approximately $76.6 million. This purchase, which was made at an average of $ 74,326 per piece, was in a relatively lower amount compared to the company’s large amount of bitcoin purchases in previous periods. Additionally, the price of STRC was not at par when this last purchase was made.
Strategy management emphasizes that when they can keep the STRC price at a nominal level, they can purchase bitcoin directly with the funds they obtain by issuing new shares.
The company currently holds approximately 762,099 bitcoins. These purchases indicate a total portfolio size of $57.69 billion at an average unit price of $75,694.
