Michael Saylor's Strategy Boosts US Dollar Reserves, Unveils 'Bitcoin Monetization Program'
Michael Saylor’s Strategy, a Nasdaq-listed Bitcoin treasury company, has boosted its USD Reserve to $2.55 billion, including expected proceeds from its at-the-market share program. The reserve covers approximately 17.4 months of its annual preferred stock dividend and interest obligations of $1.76 billion. The Board has adopted a policy requiring the reserve to maintain at least 12 months of coverage.
Additionally, the company introduced a Bitcoin (BTC) Monetization Program, authorizing the sale of up to $1.25 billion worth of BTC. Proceeds will be used to fund or replenish the USD Reserve, cover dividend and interest payments, or fund stock repurchases. Combined with the cash reserve, Strategy now has about 25.9 months of preferred dividend liquidity coverage.
Strategy confirmed its commitment to Bitcoin as its primary treasury reserve asset while emphasizing that Digital Credit requires liquidity and active capital management. The company also raised the dividend rate on its STRC preferred stock to 12.00% annually starting in July and authorized $1 billion in buybacks for its Digital Credit Securities and Class A common stock (MSTR).