Strategy Inc. shares rise after $2B buybacks, Bitcoin plan

Strategy Inc. shares rose 2.7% in Monday trading after the company’s board approved a capital management overhaul that includes $1 billion in preferred securities repurchases, $1 billion in Class A common stock buybacks and a structured Bitcoin monetisation programme to support liquidity while preserving long-term Bitcoin exposure.

The board established a formal USD Reserve policy with a minimum reserve equal to 12 months of annual preferred dividends and interest expense, about $1.76 billion. Strategy reported its USD Reserve at approximately $2.55 billion as of June 28, 2026. Combined with $1.25 billion of board-authorised Bitcoin monetisation capacity, the company said preferred stock dividend liquidity coverage totals roughly $3.80 billion, or about 25.9 months.

Under the preferred securities programme, Strategy authorised a $1 billion repurchase covering its Digital Credit Securities — STRC, STRF, STRD and STRK — with initial priority given to its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC). The board raised STRC’s dividend rate to 12% annually, effective for semi-monthly periods with record dates on or after July 1, 2026, and said it expects STRC to trade close to its stated $100 value over time.

The structured Bitcoin monetisation programme allows Bitcoin sales for three specified purposes: generating up to $1.25 billion to support the USD Reserve; funding preferred stock dividend and interest payments when management deems selling Bitcoin preferable to issuing equity; and financing repurchases of Digital Credit Securities or common stock. Any Bitcoin monetisation outside those purposes would require additional board authorisation. The USD Reserve may be used only to support preferred stock dividend payments and interest on outstanding debt.

The announcement follows the company’s rebrand from MicroStrategy and comes after a period of pressure on its valuation. At one point Strategy’s market capitalisation fell below the value of its Bitcoin holdings, bringing the market-cap-to-Bitcoin-net-asset-value ratio below one.

Chief Executive Phong Le described the change as “evolving from one-way capital issuance to active capital management.” Founder Michael Saylor characterized the framework as “designed to strengthen credit quality and enable the Company to reduce expected preferred stock dividend payments when accretive.” Chief Financial Officer Andrew Kang added, “Bitcoin is capital. This program gives Strategy the flexibility to use a portion of its BTC Reserve to strengthen Digital Credit, fund dividend payments and interest expense, and fund accretive repurchases when BTC monetization is more advantageous than issuing common equity.”