Executive Chairman Michael Saylor signaled that Strategy may begin selling Bitcoin to fund dividend obligations, while continuing to grow its massive holdings through preferred stock issuance.
The company holds 818,334 BTC, valued at roughly $67 billion. With Bitcoin near $81,500, Strategy holds about $4.6 billion in unrealized gains.
Under the plan, Strategy would issue STRC preferred stock and deploy proceeds into Bitcoin. Sales of Bitcoin above a 2.3% annual breakeven return would fund dividends while still allowing net accumulation.
At a 20% annual STRC issuance rate, Saylor projects the company could add 144,000 Bitcoin in a year without tapping equity markets. He compared the approach to a real estate developer buying low and selling high, calling Strategy a "Bitcoin development company."
Saylor dismissed criticism that Bitcoin sales signal a flawed model, but acknowledged the perception risk. Shares fell in after-hours trading, while Bitcoin held above $81,000.