STRCx: How Strategy Inc.’s preferred stock delivers income 

Key takeaways

• STRCx is the tokenised version of STRC, Strategy Inc.’s perpetual preferred stock, designed to pay regular cash dividends while trading near its $100 par value.
  
  
• The dividend rate is variable and currently sits at 11.50% per annum as of June 2026. It is adjusted monthly, is not guaranteed, and may be significantly lower in future periods.
  
  
• Strategy Inc. is the largest corporate holder of Bitcoin, which gives STRCx an indirect link to the Bitcoin thesis without the price volatility of holding BTC directly.
  
  
• For institutional investors whose mandate requires income rather than speculative exposure, STRCx is accessible through the Luno OTC Desk with firm quotes and flexible settlement.
  

Most ways of expressing a view on Bitcoin (BTC) involve accepting its volatility. Holding BTC directly, holding shares in companies with large Bitcoin treasuries, or trading Bitcoin-linked products all expose a portfolio to drawdowns that many institutional mandates simply cannot accommodate.

STRCx offers a materially different entry point, giving institutional investors a tokenised route into STRC, the perpetual preferred stock issued by Strategy Inc. Rather than tracking the Bitcoin price, STRC is engineered to do the opposite: deliver a regular cash income while trading with low price volatility around its $100 par value. For institutional investors who want a foothold in the Bitcoin economy but whose mandate requires income, that distinction matters.

What is STRC?

STRC is a perpetual preferred stock issued by Strategy Inc. and listed on Nasdaq. It pays cash dividends at a variable annual rate, currently 11.50% as of June 2026, with payments made monthly. Strategy has also approved a change to move dividend payments to a semi-monthly schedule following a shareholder vote in June 2026.

Two design features define the instrument. First, it is perpetual, meaning there is no maturity date and Strategy is under no obligation to redeem the stock at a specified time. Second, the dividend rate is adjusted monthly under a published framework designed to keep STRC trading close to its $100 par value. When the price drifts below par, the rate can be increased to attract buyers; when it trades above, the rate can be reduced. The stated aim is to strip away price volatility and have the instrument behave more like a credit product than an equity.

Importantly, the dividend is not guaranteed. Each payment is subject to approval by Strategy’s board, the rate can change every month, and Strategy’s own disclosures note that future rates may be significantly lower than the current one.

Where the Bitcoin connection comes in

Strategy Inc. is the world’s largest corporate Bitcoin holder, with a treasury of over 800,000 BTC as of May 2026, and describes itself as the first Bitcoin Treasury Company. Issuing preferred stock such as STRC is one of the ways the company raises capital to fund and expand that position.

This is what gives STRCx its place in a Bitcoin-oriented portfolio. The income stream is connected to the success of the largest corporate participant in the Bitcoin economy, but the instrument itself is structured to avoid tracking the Bitcoin price. Strategy’s common stock (MSTR) rises and falls with sentiment around its Bitcoin position, whereas STRC is designed to sit apart from that, holding near par while paying its monthly dividend.

One point investors should understand clearly, is that STRC is not collateralised by Strategy’s Bitcoin holdings. Holders have a preferred claim on the residual assets of the company, ranking ahead of common stockholders, but the dividend is paid from the company’s resources rather than backed by specific BTC reserves. The Bitcoin link is thematic and structural, not a direct claim on the company’s Bitcoin.

STRCx vs holding Bitcoin directly

	STRCx	Holding BTC directly
Primary return	Regular cash dividends at a variable rate	Price appreciation (or depreciation)
Price behaviour	Designed to trade near $100 par with low volatility	Historically higher volatility
Income	Yes, paid in cash at a rate adjusted monthly	None unless deployed into yield products
Link to Bitcoin	Indirect, via the issuer’s Bitcoin treasury strategy	Direct
Key risks	Issuer credit risk, dividend rate reductions, no maturity date	Market risk, full exposure to BTC price swings

The comparison makes the use case clear. STRCx is not a substitute for Bitcoin exposure and will not capture Bitcoin’s upside. It is a corporate Bitcoin yield instrument, a source of Bitcoin-linked income for institutional investors who want a connection to the Bitcoin economy without the full volatility of holding BTC directly.

How the tokenised version works

STRCx is Strategy Inc.’s preferred stock in tokenised form. Each token is fully collateralised on a 1:1 basis by the underlying preferred share, held with a regulated custodian, and gives the holder economic exposure to the instrument’s performance rather than direct ownership of the share itself. Corporate actions, including dividends, are reflected in the token through an automatic adjustment mechanism, so no action is required from holders when a payment is made.

The practical effect is that institutional investors can hold a Nasdaq-listed preferred stock’s economics in the same infrastructure as their digital assets: in a wallet, transferable on-chain, and tradeable outside traditional brokerage rails.

Accessing STRCx through the Luno OTC Desk

For institutional and qualified investors, STRCx is available through the Luno OTC Desk, alongside the desk’s broader range of tokenised assets. For allocators who already follow Strategy’s common stock (Nasdaq: MSTR), this makes the company’s preferred stock accessible over the counter alongside their digital asset holdings. The desk provides firm, executable quotes for the requested volume, off-order book execution to reduce market impact, flexible settlement options, and direct support from a dedicated trader from enquiry through to settlement.

As an institutional alternative to holding Bitcoin directly, STRCx allows allocators to build an income sleeve alongside digital asset exposure through the same private execution channel used for large crypto and stablecoin trades, without opening a separate brokerage relationship.

FAQs

1. How can I access STRCx? Qualified investors can access STRCx through the Luno OTC Desk, with firm executable quotes, flexible settlement, and direct support from a dedicated desk.

2. What is STRCx? STRCx is a tokenised version of STRC, the perpetual preferred stock issued by Strategy Inc. Each token is backed 1:1 by the underlying share held with a regulated custodian.

3. What is STRC? STRC is a Nasdaq-listed perpetual preferred stock from Strategy Inc. that pays cash dividends at a variable annual rate and is designed to trade near its $100 par value.

4. What is the current dividend rate? As of June 2026, the rate is 11.5o% per annum. It is variable, adjusted monthly, not guaranteed, and may be significantly lower in future periods.

5. How often are dividends paid? Dividends are currently paid monthly in cash. Strategy shareholders approved a change in June 2026 to move payments to a semi-monthly schedule.

6. Is the dividend backed by Bitcoin? No. STRC is not collateralised by Strategy’s Bitcoin holdings. Dividends are paid from the company’s resources, and holders have a preferred claim on the company’s residual assets.

7. How is STRCx connected to Bitcoin? Strategy Inc. is the largest corporate holder of Bitcoin, and instruments like STRC help fund its Bitcoin treasury strategy. The link is to the issuer, not to the Bitcoin price.

8. Will STRCx rise if Bitcoin rises? Not by design. STRC is engineered to trade near its $100 par value, so it is not built to capture Bitcoin’s upside or downside.

9. What are the main risks? The dividend rate can fall, payments are not guaranteed, the instrument is perpetual with no maturity date, and holders carry issuer credit risk. It is also not a bank deposit and does not carry deposit-style protections.

10. Who is STRCx suited to? Institutional investors and allocators whose mandate requires income rather than speculative exposure, but who want a connection to the Bitcoin economy.

*Investing in Crypto assets may result in the loss of capital. Luno (Pty) Ltd is an authorised financial services provider (FSP No. 53314), and registered credit provider (NCRCP22123). This information is not intended to be nor does it constitute financial, tax, legal, investment or other advice; nor is it a call to trade. The information is intended as general market commentary for information purposes only. Before making any decision or taking any action regarding your finances, you should consult a qualified Financial Advisor.