Strategy, formerly known as MicroStrategy, is doubling down on its Bitcoin ambitions. On June 2, the firm announced plans to raise $250 million via a new class of perpetual preferred stock—a bold move aimed at expanding its already massive Bitcoin holdings.

🚀 What’s the Plan?

• Strategy is offering 2.5 million shares of its 10% Series A Perpetual Stride Preferred Stock (STRD) at $100 each.
• If fully subscribed, this could bring in $250 million, which the company explicitly says will be used to buy more Bitcoin and provide working capital.
• The preferred shares offer 10% annual dividends, paid quarterly—but only if declared by the board. Dividends are non-cumulative and not guaranteed.

📊 Strategy’s Current Bitcoin Position

• Strategy holds 580,955 BTC, valued at over $61.7 billion—more than double the combined holdings of the next 117 public companies.
• If Bitcoin trades at ~$106,000, the $250 million could purchase over 2,300 BTC.

💡 Why It Matters

This move introduces a new fundraising mechanism. Strategy previously relied on common stock offerings and convertible notes. The addition of perpetual preferred stock shows innovation—and confidence.

But there’s a strategic twist: the structure allows Strategy to redeem the shares if fewer than 25% remain outstanding or during “fundamental changes,” giving them flexibility while offering yield-hungry investors a new angle on crypto exposure.

📉 Risk or Opportunity?

For bulls, this is another sign that Michael Saylor is all-in on the long-term Bitcoin thesis. If BTC rallies, this could look genius. For skeptics, it raises questions: is this a sign that Strategy is overleveraging, or is it just playing chess while others play checkers?

This is not investment advice. Always do your own research before making any financial decisions.