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
We're So (Buy)Back
Bitcoin and Strategy rip higher as the crew breaks down the Treasury’s bond-buyback announcement, the market’s reaction, and what improving liquidity could mean for Bitcoin, MSTR, and the broader digital-credit ecosystem. The conversation moves through Strategy’s strengthening balance sheet, rising USD reserves, falling net leverage, and the way a higher Bitcoin price changes the credit profile of STRC and the rest of the preferred stack. The group also examines MSTR’s surge in trading activity, the potential to rebuild Bitcoin holdings and repurchase securities, and the longer-term path toward using Bitcoin as institutional-grade collateral. From there, the discussion turns to Nvidia-backed AI infrastructure financing, GPU depreciation and underwriting risk, Strategy’s convertible debt mechanics, STRC issuance, MSTR buyback optionality, and the tradeoffs facing common shareholders when mNAV expands. The episode closes with BlackRock’s BITA covered-call ETF, the possibility of Strategy reaching one million Bitcoin, the upcoming Jackson Hole speech and Fed meeting, and what a durable Bitcoin rally could unlock across capital markets. This episode is for informational and educational purposes only and is not investment, tax, or legal advice.
Digital Credit Is The Product
In this week’s Hurdle Rate, the crew reacts to Strategy’s latest investor Q&A and breaks down why the company is prioritizing STRC, building cash reserves, and treating Bitcoin as flexible capital. We dig into why Bitcoin has held firm despite Strategy selling, the Coldcard self-custody exploit, and broader market stress, and what that resilience could signal about the bear market. The conversation then turns to NVIDIA’s massive structured-finance deal, how the company is lending its balance sheet and creditworthiness to accelerate OpenAI’s infrastructure buildout, and what it reveals about the growing convergence of AI, credit, and capital markets. We close with OranjeBTC’s DIGY11 ETF and the expansion of digital credit into Brazil. Here's the latest with Tim Kotzman, Matt Cole, Joe Burnett, and Ben Werkman.
Trust Is Civilization's Oldest Technology
Jeff Walton reads civilization as a stack of trust-extension technologies — from the oath and coined money to the joint-stock company and the central bank — and argues Bitcoin and digital credit are the next layers going in as the current architecture cracks at the base.
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 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.
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