MicroStrategy Launches $STRF Perpetual Preferred Stock Offering, Targeting Bitcoin Focus

On March 18th, 2025, Michael Saylor, Founder and Chairman of Strategy (Nasdaq: MSTR; STRK), announced via X the launch of $STRF ("Strife"), a perpetual preferred stock offering,

On March 18th, 2025, Michael Saylor, Founder and Chairman of Strategy (Nasdaq: MSTR; STRK), announced via X the launch of $STRF ("Strife"), a new perpetual preferred stock offering, available to institutional investors and select non-institutional investors.

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The offering, which is being registered under the Securities Act of 1933, will consist of 5 million shares of Series A Perpetual Strife Preferred Stock and is being sold to institutional investors and select non-institutional investors.

The preferred stock will offer a fixed 10% annual dividend, paid quarterly if approved by Strategy’s board of directors. This dividend will be calculated based on an initial value of $100 for each share of STRF, which translates to a $10 quarterly dividend payment.

Moreover, STRF will have no maturity date, which means that it could potentially continue to provide dividends to investors indefinitely, as long as Strategy remains in operation and able to pay the dividends.

However, Strategy will have the option to redeem all of the outstanding shares of STRF if less than 25% of the shares remain issued at the time or in connection with certain tax-related conditions.

This move comes as Saylor continues to shift Strategy's focus towards Bitcoin, aiming to diversify the company's financial products for investors seeking high-yield returns and support Strategy’s own efforts to acquire more Bitcoin.

The announcement has sparked reactions from various parties. Critics, including @GHOSTawyeeBOB and Peter Schiff, expressed skepticism, highlighting Strategy’s 2024 negative cash flow of $66.51 million and questioning the sustainability of the 10% dividend for $STRF.

They argued that Saylor’s Bitcoin-heavy strategy is risky and desperate, referencing the company’s financial struggles, past losses (e.g., the .com bubble), and Bitcoin’s volatility, with some adding levity by noting how Bitcoin drops in price after Saylor’s endorsements.

In contrast, @vanguard_btc and others defended the strategy as optimal, framing negative cash flow as a trade-off for acquiring Bitcoin—a “finite asset” versus “infinite dollars”—while viewing $STRF as a strategic tool to fund long-term growth.

Those seeking more detail inquired about $STRF’s structure, dividend risks, and Strategy’s financials, and jabs like @CryptoCowboy_AU’s ‘Can you fix bitcoin yet?’ cut through the discussion.

Aspects like Strategy’s 446,400 Bitcoin holdings and $STRF’s purpose for general corporate needs, including Bitcoin, will likely factor into the narrative further.