Strategy Reveals Another Stock Offering to Boost $71 Billion Bitcoin Stash
In brief
- Software firm Strategy has a new financial product called Stretch (STRC).
- STRC will be different in structure than previous STRK, STRF, and STRD offerings, the firm says.
- Strategy—formerly MicroStrategy—is doing everything it can to raise money to buy more Bitcoin.
Bitcoin treasury firm Strategy has announced yet another new stock product to help fuel its BTC-hoarding ambitions.
The Tysons, Virginia-based company said in a statement Monday that it will launch an initial public offering of stock—named Stretch (STRC)—and use the proceeds to buy Bitcoin.
Investors will be able to buy the stock and an initial dividend rate of 9%. Strategy said it plans to sell 5 million shares at $100 each, for a total of $500 million.
The company will start paying investors dividends from the end of August, Strategy said. Strategy—formerly MicroStrategy (MSTR)—already offers other products other than its Nasdaq-listed shares: STRK, STRF, and STRD.
STRC is different to the other financial instruments as it will pay a variable monthly dividend—not a fixed one.
"Strategy intends to use the net proceeds from the offering for general corporate purposes, including the acquisition of Bitcoin and for working capital," the firm said.
The company this year has aggressively bought Bitcoin and now holds 607,770 BTC following its latest buy, according to an SEC filing. That's over $71 billion in the cryptocurrency at the current price of $117,363, per CoinGecko.
Strategy was originally a business software firm, but started buying Bitcoin in 2020 as an inflation hedge.
Fast-forward to 2025 and Strategy now works to buy Bitcoin, hold it, and give investors exposure via its Nasdaq-listed shares.
The firm's stock, MSTR, last week hit a record market cap, and has soared since 2020 by over 2,860%.
Company Executive Chairman and co-founder Michael Saylor came up with the Bitcoin-buying model and now urges other firms to do the same. More than 100 publicly traded companies have followed suit with Bitcoin treasuries, and now there are firms establishing crypto treasuries with altcoins like Ethereum, Solana, XRP, and even Dogecoin.
Strategy last year announced a plan to raise $42 billion via $21 billion from equity raises and another $21 billion from fixed income securities to buy Bitcoin. But it in May upped its ambitions to raise double the amount to $84 billion by 2027.
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