Strategy’s BTC accumulation has entered a more expensive phase. For years, the trade was funded with stock issued at a premium and cheap convertible debt. That window is mostly gone. Common issuance is constrained by mNAV, new convert issuance is closed, and STRC has become the main funding channel by volume. The 11.5% yield is the cost of sitting lower in the stack. STRC comes behind the convertibles and senior preferreds, so holders are being paid for the impairment risk the debt stack avoids. Strategy is paying that spread to keep accumulating BTC today while buying time before the larger debt repayments come due in 2028.(Delphi Digital)