Foresight News
Foresight News|Jun 29, 2026 12:03
Strategy launches' Digital Credit Capital Framework ', establishes BTC monetization plan and two $1 billion repurchase plans Foresight News reported that according to Strategy's 8-K filing with the US SEC, the company announced the launch of a "Digital Credit Capital Framework," which includes five core elements: US dollar reserve policy, STRC dividend policy adjustment, preferred stock repurchase plan, common stock repurchase plan, and BTC monetization plan. \According to the US dollar reserve policy, this reserve can only be used to pay preferred stock dividends and debt interest, and the management must maintain a reserve size that covers at least the expected dividend and interest expenses for the next 12 months. As of June 28th, the balance of US dollar reserves was 2.55 billion US dollars. \In terms of STRC dividends, the company will dynamically evaluate the dividend yield on a monthly basis, taking into account factors such as trading prices, market returns, credit spreads, and Bitcoin price fluctuations. It will not increase dividends solely based on STRC trading prices being lower than face value. The company also announced an increase in the annualized dividend yield of STRC from the previous level to 12.00%, effective from July 1st. \In terms of repurchase plans, the company has established two repurchase authorizations of $1 billion each, which are used to repurchase preferred shares such as STRC, STRF, STRD, and STRK, as well as Class A common shares. STRC is the primary target of the preferred share repurchase plan. Both repurchase plans will not use US dollar reserve funds. \In addition, the company's board of directors has authorized the BTC monetization plan, allowing the company to raise up to $1.25 billion through the sale of Bitcoin to replenish its US dollar reserves, pay preferred stock dividends and interest expenses, or provide funding for the aforementioned repurchase plan.
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