Strategy announced an at-the-market (ATM) program to sell 10% Series A Perpetual STRD Preferred Stock, seeking to raise up to $4.2 billion for Bitcoin acquisitions. The structure aims to secure stable funding while positioning the company to capitalize on long-term Bitcoin growth.
The ATM program enables incremental capital raising for consistent Bitcoin accumulation, offering investors steady income through preferred shares. Crucially, this approach avoids dilution of common shareholders’ voting power by targeting income-focused investors rather than existing equity holders.
Analysts note the program’s unprecedented scale may exert upward pressure on Bitcoin prices and signal robust institutional interest in cryptocurrency markets. However, challenges include navigating Bitcoin’s inherent price volatility and addressing shareholder scrutiny over the firm’s concentrated Bitcoin exposure.