Strategy unveils capital framework, authorizes $1.25B BTC sale

Strategy (Nasdaq: MSTR) announced in a filing with the U.S. Securities and Exchange Commission (SEC) that it has adopted a "Digital Credit Capital Framework." The framework is composed of five key policies: - A USD reserve policy - An adjustment to its STRC dividend policy - A preferred stock buyback program - A common stock buyback program - A plan to sell BTC The company plans to maintain sufficient USD reserves to cover preferred stock dividends and debt interest payments for the next 12 months. Its current reserves stand at $2.55 billion. Starting July 1, Strategy will increase the annual dividend rate for STRC to 12% and has established new buyback programs of $1 billion each for its preferred stock, including STRC, and its Class A common stock. Additionally, the board of directors has approved the sale of up to $1.25 billion worth of BTC. The proceeds from the sale are slated to be used to increase USD reserves, pay preferred dividends and interest, and fund the stock buybacks.