# Strategy’s STRC return to $100 par could reopen funding for Bitcoin purchases

By Riza Dagoc

Canonical URL: https://www.tokenpost.com/news/investing/45093
Published: 2026-10-30T20:21:08.000Z
Updated: 2026-10-30T20:21:08.000Z
Section: Investing

> A return to $100 par could let Strategy issue more STRC to fund Bitcoin purchases and cash reserves, Mike Flam said. Daily dividends may improve payment visibility, while price volatility remains a concern.

Strategy’s STRC preferred stock returning to its $100 par value could allow the company to raise fresh capital for Bitcoin purchases and cash reserves. Daily dividends could also strengthen investor confidence by making payment performance visible each day.

In an October 30 interview with Bitcoin Magazine, Mike Flam, CEO of Log Scale Investments, said a return to par would enable Strategy to issue more STRC. Issuing below $100 would increase its cost of capital, making the share price an important constraint on further fundraising.

Flam linked that funding cost to Strategy’s stated capacity to issue $10 billion to $30 billion in digital credit. He said issuance at par could support both Bitcoin purchases and additional cash reserves, helping provide funds for dividend payments.

Cash reserves and share buybacks have also helped improve STRC’s resilience, he said. Earlier issuance exceeded expectations before a Bitcoin decline pulled the preferred stock lower. Flam said its performance following buybacks showed greater stability, adding that companies may sometimes benefit from accumulating cash alongside Bitcoin.

Daily dividends could reduce price swings around ex-dividend dates and shorten the time investors must wait to check whether payments have been made, Flam said. With each day becoming a record date, payment performance would be observable more frequently.

He said that visibility could appeal to both individual and institutional investors. The annualized STRC dividend yield of 12% discussed in the interview could also serve as a benchmark for assessing other opportunities, he said. He compared the frequent confirmation of payment terms with recurring funding settlements in Bitcoin perpetual futures.

Flam distinguished traders seeking a price recovery from investors holding for income. Buyers who acquired STRC below $80 could take profits as it approached $100. Buying a preferred stock at a discount to the par value used to set its dividend provides a higher yield on the purchase price, alongside any gain from a subsequent price recovery, he explained.

Demand for Strive’s SATS preferred offering reflected both new money and rotation from existing products, Flam said. Citing public comments by Matt Cole, he said two institutional investors participated without having previously invested in Strive’s common stock or earlier preferred stock. The offering increased from $500 million to $700 million, a $200 million expansion of approximately 40%, which he viewed as evidence of institutional and retail demand.

Flam also highlighted differences in dividend protection. SATS accumulates unpaid dividends, while Strategy’s STRD does not have that feature, he said. He argued that Strive’s later entry allowed it to incorporate additional investor protections into its product structure.

For retirees and investors approaching retirement, Flam emphasized the need to withstand market price fluctuations. He distinguished holding a US Treasury to maturity from selling it earlier, when the market price matters, and said preferred shareholders likewise face price changes when they sell. STRC was down 1.04% when he checked during the interview, which he described as improved resilience compared with earlier Bitcoin declines, while stressing that volatility remained real.