Strategy stock slides as STRC preferred plunges, tightening Bitcoin funding and dividend coverage

Strategy’s common stock fell more than 6% on Thursday, with reports citing pressure tied to the decline in its flagship STRC preferred shares and related insider selling. Multiple outlets said the STRC preferred stock dropped to record lows, pushing the common share price to around the $109 area ^{[1] [2] [3]}.

The fall in STRC has also been linked to constraints around Strategy’s ability to issue additional shares for bitcoin purchases and to uncertainty over its preferred dividend coverage. Reports noted that STRC trading below its $100 par value has suspended the company’s capacity to issue more shares for bitcoin acquisitions, while Protos said Strategy’s dividend coverage outlook has deteriorated materially in recent months as STRC and assumptions about dividend coverage changed ^{[2] [4]}.

Coverage of Thursday’s moves further described how STRC’s deep discount may affect one of the main funding channels Strategy uses to finance bitcoin buying, and highlighted that STRC hit another all-time low during the session. Decrypt and The Defiant both framed the selloff as ongoing market pressure around the preferred share instrument, rather than as a separate operational change ^{[5] [6]}.