EddieJayonCrypto
22 May 25
Strategy (formerly MicroStrategy) plans to raise $2.1 billion through sales of its Series A Perpetual Strife Preferred Stock (STRF) via an at-the-market (ATM) program to fund Bitcoin acquisitions and corporate initiatives. The offering, managed by TD Securities, Barclays Capital, and The Benchmark C...
Strategy (formerly MicroStrategy) aims to raise $2.1 billion through an at-the-market (ATM) offering of its Series A Perpetual Strife Preferred Stock (STRF) to fund Bitcoin acquisitions and corporate initiatives. STRF shares, listed on Nasdaq at $100.65 each, offer a 10% yield and are overcollateralized with Bitcoin, designed to appeal to traditional finance investors by targeting investment-grade treatment. This fundraising effort fits into Strategy’s broader capital plan, which includes multiple ATM programs capable of raising billions more. The company currently holds 576,230 BTC valued at about $64 billion, making it the largest corporate Bitcoin holder, and plans to continue accumulating Bitcoin. The offering is managed by TD Securities, Barclays Capital, and The Benchmark Company. STRF shares are non-convertible and do not provide preemptive rights, meaning investors won’t gain priority in future stock offerings or benefit from equity conversions. A Bitcoin-focused financial firm labeled the preferred stock offering a “Trojan horse” to onboard conservative fixed-income capital into Bitcoin. Strategy’s capital raising plan includes three simultaneous ATM programs: MSTR, STRK, and STRF, with the MSTR program still able to raise about $18.89 billion. The firm has allocated $21.79 billion toward STRK and $2.1 billion toward STRF as part of its ongoing capital strategy. Data shows the Bitcoin holdings have appreciated by more than 59% from the company’s $40.2 billion cost basis. Overall, Strategy is building a comprehensive Bitcoin credit market involving STRK, STRF, converts, and high-yield ETFs linked to its Bitcoin investments.