STRC — Strategy Preferred Equity
STRC is Strategy's preferred equity instrument, offering exposure to Bitcoin treasury returns through a structured product with defined dividend characteristics. Track our analysis, risk models, and coverage.
STRC is a preferred equity instrument issued by Strategy. It represents a new category of Bitcoin-collateralized structured product that sits between common equity and convertible debt in the capital structure.
True North has covered STRC extensively since its launch, with dedicated episodes analyzing its design, risk profile, yield characteristics, and implications for the broader digital credit market.
For daily estimates of Strategy’s STRC ATM issuance, see our live STRC ATM tracker, which reconciles minute-bar volume against the weekly SEC 8-K filings.
Latest on STRC — Strategy Preferred Equity
Randomness & Probability 101
The crew breaks down the Coldcard security failure and the custody wake-up call it created across Bitcoin, examining compromised seed entropy, emergency wallet migrations, exposed public keys, multisig setups, hardware-wallet trust, and the privacy consequences of consolidating funds through KYC platforms. They then turn to MSTR and Strategy’s updated balance sheet, including its Bitcoin sale, growing USD reserve, convertible debt, dividend coverage, STRC repurchases, and the evolving credit quality of digital credit. From there, they introduce True North’s new seed-phrase tools to visualize SHA-256, brute-force probabilities, key-space scale, and each investor’s relative “slice” of Bitcoin before closing with corporate custody, sovereignty, reinsurance opportunities, and the BIP-110 game theory unfolding between miners and nodes.
Look For The Helpers
In this week's Hurdle Rate, the crew breaks down the Coldcard self custody exploit and how the Bitcoin community responded to it, before turning to what the event revealed about how few people understood the cryptography they were relying on. We dig into the yen hitting its weakest level in forty years and what a fragile treasury market means for everyone holding dollars, Strategy's decision to sell Bitcoin and build a cash reserve, and the game theory behind buybacks. We close with a deeper look at the traditional capital that is starting to fill gaps this market used to fill on its own. Here's the latest with Tim Kotzman, Matt Cole, Jeff Walton, and Ben Werkman.
We’re Playing For Trillions
In this week’s Hurdle Rate, the crew breaks down Strategy’s Q2 2026 earnings call and its focus on returning STRC to par while building a trillion-dollar digital credit market. We explore why liquidity, simplicity, and preserving Bitcoin’s upside remain central to the strategy, along with the risks of borrowing against Bitcoin or using derivatives for short-term cash flow. Matt and Ben share lessons from meeting investors in Hong Kong, while Jeff explains how Strive is working to differentiate itself within the insurance industry. We close with a discussion on bringing Bitcoin to traditional institutions and the Federal Reserve’s shift away from heavy forward guidance. Here’s the latest with Tim Kotzman, Matt Cole, Jeff Walton, and Ben Werkman.
A Quant Breaks Down Why STRC Broke $100
The Income Show is back with host Joe Burnett, joined by Allard Peng to discuss how Bitcoin is reshaping traditional investing and giving rise to a new asset class in digital credit. They break down retail versus institutional flows, growth versus income investing, and why volatility shouldn't be conflated with risk. They also examine Strategy's role as a Bitcoin development company, the Impossible Trinity shaping STRC's design, and a five year outlook for Bitcoin and digital credit, evaluating both the bull and bear cases and the role banks may ultimately play.
Strategy ($MSTR), Bitcoin, Digital Credit, & More
The Income Show is back with host Joe Burnett, joined by Archie from the Bitcoin Archive to discuss the tension between traditional HODLing culture and the rising financialization of Bitcoin. They break down portfolio strategies for onboarding new users, the macroeconomic role of corporate treasuries, and the metrics signaling the bottom of the current bear market. They also analyze a five-year outlook for global capital, evaluating both the bull and bear cases for Bitcoin and digital credit instruments.
Social Investing
In this week’s Hurdle Rate, the crew breaks down the slow summer market and strategy's focus on building up its balance sheet to improve credit quality. We explore how Strategy and Strive are navigating macro uncertainty, steadying operations, and executing consistent Bitcoin buys through the summer doldrums. We also dig into the derivatives market, short interest dynamics for ASST and SATA, and how lending out shares ultimately impacts corporate dividend payments and tax treatment. We close with a broader discussion on structured finance, the emergence of AI agents in retail investing, and the long-term potential of building durable digital credit structures to onboard massive institutional capital into the Bitcoin era. Here’s the latest with Tim Kotzman, Matt Cole, Jeff Walton, and Ben Werkman.
Strategy is Trading Bitcoin's Power Law Trend
Dan Hillery argues that Strategy's pendulum between STRC issuance at low Bitcoin prices and accretive common equity issuance at high prices systematically grows BTC per share — with the current 37% amplification ratio reflecting management's bet that Bitcoin is near the lows relative to the power law trend.
Bitcoin-Backed Yield: A Boring Chart and a Beautiful Coupon
James Lavish, CFA walks through STRC and SATA — the two perpetual preferred shares with Bitcoin reserves behind them — and explains how Digital Credit pays an 11.5% monthly cash coupon while keeping the share price anchored near par.
Strategy Q1 2026 Earnings Call — Full Q&A Notes
Mason Foard's full Q&A notes from Strategy's Q1 2026 earnings call — Saylor on the BTC drive as a third lever, the STRC issuance dial, Bitcoin as Layer 3, the institutional ownership shift, the volatility-and-quantum playbook, the credit rerating, the regulatory wishlist, and the clean-sheet balance sheet.
STRK at $400 will Dominate Strategy's Trading Volume
Dan Hillery argues STRK will become as liquid as MSTR as a percentage of market cap. Gamma trading, MSTR call selling against STRK's embedded equity, levered carry trade structures, the ATM cut from $21B to $2.1B, and the moving liquidation preference all point to STRK dominating Strategy's trading volume.
The Income Statement Is the Obituary. The Balance Sheet Is the Will.
The equity market is scoring the wrong game. Jeff Walton re-runs the market's own pricing rule across 14 of the S&P's most scrutinized equities — Strategy is mispriced 4x to 22x in every honest specification, and the Mag 7 clusters on the wrong side of the line.
Semi-monthly STRC Divs Will Increase Monthly STRC ATM to $10B
Dan Hillery argues that shifting STRC's dividend cadence from monthly to semi-monthly will compress the time to recover to $100 par, give arbitrage traders two shots at overnight dividend capture per month, and drive STRC ATM volume toward $10B per month.
Stay on Course. Get the Signal.
Subscribe for livestream reminders, key insights, and the occasional alpha drop. Straight from True North.