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Investors Shift Away From Strategy's Preferred Stock to Strive's Competing Share

STRC is slipping further below par, while Strive's SATA is drawing investors with a higher yield and a stronger capital structure. The gap between the two products is widening fast.

By Finst News
• 2 min read
Investors Shift Away From Strategy's Preferred Stock to Strive's Competing Share

Key Takeaways

  • Strategy's preferred stock STRC recently traded at $91.79 and stayed below its $100 face value.
  • Investors are worried about STRC's dividend coverage, which still has about seven months of payments left in cash.
  • Strive's SATA is drawing more interest because of its higher yield, daily dividend payments, and a price close to par.

Strategy's preferred stock STRC, which is tied to bitcoin, recently traded at $91.79 (€79), one of its lowest prices since it launched in July 2025. This share, which was originally priced at around $90 (€78), has been trading below its $100 (€86) face value for quite some time and has not reached parity since May. The drop lines up with concerns about dividend coverage and growing competition from a similar product from Strive called SATA.

Factors Behind STRC's Price Drop

STRC was designed to stay close to its $100 (€86) par value, especially around the ex-dividend date, after which the share usually drops by the amount of the dividend. However, on June 15, STRC did not reach par, which points to a structural weakness. The price action partly follows bitcoin, which is hovering around $65,000 (€56,100) and is therefore about 50% below its all-time high. There is also concern about dividend coverage. Strategy currently has about seven months of dividend payments left in cash after paying off $1.5 billion (€1.3 billion) in convertible debt. Before that repayment, there was enough cash for 24 months of dividends.

Competition From Strive's SATA Preferred Stock

Investors seem to be showing more and more interest in SATA, Strive's bitcoin-backed preferred stock. SATA trades close to its $100 (€86) par value and offers a higher annual yield of about 13%, compared with 11.5% for STRC. On top of that, SATA pays dividends daily, unlike STRC's biweekly payments. Strive has no outstanding debt, which puts SATA at the top of the capital structure and leaves it free of convertible creditors. That makes SATA more appealing to investors looking for steady income. The price gap between STRC and SATA is now about $8.20 (€7), the widest ever, while SATA is trading almost at par.

These developments point to a broader trend in the crypto market, where companies with large bitcoin reserves are looking for new ways to raise capital and strengthen their position. Preferred stocks like STRC and SATA give investors a way to benefit from bitcoin holdings with a fixed return, but they clearly differ in structure and risk profile.

Why This Matters for European Investors

For European investors, the shift between STRC and SATA can offer insight into the dynamics of bitcoin-backed preferred stocks, a relatively new financial instrument. The difference in dividend structure and capital structure between these shares may point to different risk profiles and return prospects, which could matter for anyone thinking about investing in similar products inside or outside Europe.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, legal, or tax advice. The information provided may be incomplete, inaccurate, or outdated and should not be relied upon as such. Nothing on this website should be considered a recommendation to buy, sell, or hold any cryptocurrency. Investing in crypto-assets involves risk of loss.