Bloomberg: Strategy weighs daily preferred dividends to bolster BTC funding

Strategy is considering shifting dividends on its multibillion-dollar preferred stock from twice-monthly or quarterly payments to daily payouts, Bloomberg reported. Bloomberg said Strategy has shifted its funding focus to preferred shares, which do not dilute existing shareholders, after the premium on its common stock disappeared. It added that the company spent more than $1 billion buying back its own preferred shares to lift the price of perpetual preferred STRC toward par value, but has not been able to issue new shares since May. The move to pay dividends daily is aimed at improving liquidity and reviving investor demand, though it does not reduce credit risk tied to the preferred shares or risks stemming from BTC price volatility, according to the report. Lacy Zhang, head of research at Bitget Wallet, said more frequent dividend payments could reduce price swings linked to ex-dividend dates, but increasing payout frequency does not necessarily boost market liquidity.