STRC returns to $100 as daily dividends open path to renewed Bitcoin buying

Strategy’s preferred stock STRC has returned to $100, bringing the company closer to resuming share sales to fund Bitcoin purchases. A switch to daily dividends could help the stock hold that level and support a renewed flow of capital into Bitcoin, according to Joe Consorti.

In a video published on November 9, Consorti said STRC had traded at $100 for the first time in 165 days. He described the recovery as a step toward reopening a funding channel connecting fixed-income investors with Bitcoin purchases.

STRC pays an annual dividend of 12% and is designed to trade around $100, he explained. Strategy does not issue new STRC shares below that price, making its recovery a key condition for raising more Bitcoin purchase funding. Reaching $100, however, is distinct from actually restarting issuance: investor demand must support new share sales.

Consorti said STRC funded $7.52 billion in Bitcoin purchases during the first half of the year, buying approximately 100,000 BTC against roughly 81,000 BTC produced by miners over the same period. In two weeks in May alone, Strategy raised $2 billion through STRC issuance and purchased 24,869 BTC, he said.

He identified daily dividends as the main catalyst for the price recovery. Under monthly payments, buying ahead of the dividend and selling afterward produced price swings of about $1, he explained. Daily payments reduce that movement to about three cents, potentially helping STRC stay near the level needed for continued issuance and Bitcoin purchases.

Strategy shareholders approved daily dividends on October 28 with 99.3% support, Consorti said. STRC traded at $99.90 that day and closed at $99.99 the following day. Its first daily dividend arrived on November 3, followed by a trade at $100 on November 4. Strategy had also repurchased about $2.25 billion of STRC since July, but Consorti argued that the dividend change supplied the final push after months of buybacks.

He pointed to Strive as an earlier example. Its preferred stock SATA switched to daily dividends on June 16 and traded at $100 for 16 consecutive sessions in September, allowing the company to issue shares into that demand. Strive purchased 15,124 BTC worth about $1.26 billion during October, exceeding the approximately 13,500 BTC mined that month, he said.

Consorti argued that the structure offers another route for income-seeking capital to fund Bitcoin purchases. He put the global bond market at $160.7 trillion, roughly 16 times the approximately $10 trillion held by the US ETF industry in 2024. While acknowledging that STRC carries more risk than US Treasuries, he compared its potential funding role with the broader brokerage access created by spot Bitcoin ETFs.

At the current mining pace, annual new Bitcoin supply is approximately 164,000 BTC, he said. If STRC sustained its first-half buying pace and Strive maintained its October pace, their combined annual purchases could exceed twice that supply. The calculation depends on both companies maintaining those purchase rates.

Consorti framed a broader allocation scenario as a thought experiment rather than a forecast. If 0.1% of the global bond market moved into Bitcoin-backed income products, he calculated, it would represent about $160 billion, equivalent to roughly 2.1 million BTC at the price used in his analysis. Whether STRC can remain near $100 and attract demand for further issuance remains central to the funding mechanism he described.