Strategy Inc. (NASDAQ: MSTR), the Bitcoin treasury company formerly known as MicroStrategy, has conditionally set daily cash dividends on its Variable Rate Series A Perpetual Stretch Preferred Stock (ticker: STRC) for every calendar day in November 2026.
The board’s action, disclosed in a Form 8-K filed with the US Securities and Exchange Commission (SEC) on October 16, keeps the annualized dividend rate at 12 percent and produces a total of $1.00 per share for the month—matching the amount that would be paid under the existing semi-monthly schedule.
Under the plan, every day from November 1 through November 30 serves as a record date, with the corresponding dividend paid on the following business day.
Payments are expected to begin November 2 and continue through December 1. Individual daily amounts are generally three or four cents per share.
Because weekends and holidays (including Veterans Day and Thanksgiving) are not business days, dividends for multiple record dates may settle together on the next open business day.
The daily dividends are not unconditional.
They become payable only if two requirements are met: common stockholders must approve the “Daily Dividend Amendments” at a special meeting scheduled for October 28, 2026, at 10:00 a.m. Eastern time (with approval needed by 5:00 p.m. New York time on October 31), and the company must file and make effective the second amended and restated certificate of designations for STRC by 12:01 a.m. Eastern time on November 1.
If both conditions are satisfied, the previously declared semi-monthly dividend of $0.50 per share payable on November 15 (to holders of record on October 31) will not be paid.
If either condition fails, the daily dividends will not be paid, the November 15 dividend will be paid, and the company expects to continue the current semi-monthly cadence.
The two sets of dividends cannot both become unconditionally payable.
Management has stated it will continue to recommend that the board maintain the 12 percent annual rate until STRC demonstrates “sustained, healthy trading near $100 per share.”
The preferred shares have traded below that stated amount for months, closing recently around $99.32.
STRC was created as a capital-raising instrument to help fund the company’s Bitcoin purchases and has seen its payout frequency increased once already—from monthly to semi-monthly—earlier in 2026.
Company materials indicate that more frequent payments are intended to reduce price volatility around ex-dividend dates, improve liquidity, shorten the reinvestment lag for income-oriented holders, and support trading closer to the $100 level.
The company has also engaged in substantial buybacks of STRC to help support the price.
As of the filing date, Strategy expected any November daily dividends that become payable to be treated as non-taxable returns of capital for US federal income tax purposes, to the extent of a holder’s tax basis in the shares.
The proposal is part of a broader effort covering Strategy’s US-listed preferred stocks.
If approved, STRC would move to daily accruals first, with other series expected to follow in 2027.
Shareholders of the common stock vote on the amendments; preferred holders do not. The definitive proxy statement was filed earlier in October, and investors are directed to review it for full details.
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