Strategy’s daily STRC dividends clear the final count: same 12%, but two dates for the first payment

Update, 1 November 2026, 12:04 UTC: Strategy’s 8-K filed on 29 October gives the final count on daily dividends: 381,373,199 votes for, 2,236,551 against and 444,753 abstentions. The company filed the new STRC certificate in Delaware that day, set to take effect at 12:01 a.m. Eastern time on 1 November (04:01 UTC), and says the November daily dividends then replace the 15 November payment. Its documents differ on the first payment: the 15 October 8-K lists 2 November, the certificate names 3 November, and this version gives both wordings.

Strategy’s common shareholders approved daily dividends on the company’s STRC preferred stock at a special meeting on Wednesday 28 October, by 381,373,199 votes to 2,236,551 with 444,753 abstentions, according to a Form 8-K filed on 29 October. The amended STRC certificate sets a record date on every calendar day from 1 November. The three other preferreds, STRF, STRK and STRD, are due to switch on 1 January 2027.

The count fits what Michael Saylor said on the day. “Preliminary results show 99.3% of votes cast were in favor,” the executive chairman wrote on X, as quoted by Decrypt; Bitcoin.com News reported the same number. By our calculation, the votes for are 99.3% of the 384,054,503 votes counted, abstentions included, and 99.4% of votes for and against. The result was never in much doubt. Saylor held 32.9% of Strategy’s total voting power on 15 September, mostly through Class B shares that carry 10 votes each, according to the company’s proxy statement.

The rate does not move. STRC pays 12% a year on its $100 stated amount for November record dates, or $1.00 per share for the month. The amendments change no dividend rate and do not raise or cut the total paid, the proxy says. What changes is the calendar: 365 record dates a year instead of 24.

The paperwork is on file. On 29 October Strategy filed the amended certificates of designations, the Delaware documents that set each preferred’s terms. STRC’s was set to take effect at 12:01 a.m. Eastern time on Sunday 1 November (04:01 UTC); the other three follow at the same hour on 1 January 2027 and keep their existing certificates until then. EDGAR showed no later Strategy filing when we checked on 1 November, so no filing yet confirms that the STRC certificate took effect.

What Strategy’s shareholders approved on 28 October

The special meeting, held by webcast, opened at 10:00 a.m. Eastern time. Only holders of common stock on the record date of 25 September could vote. Holders of the four preferreds, whose payments are the ones changing, had no vote.

Strategy’s first filing, an 8-K of 28 October signed by general counsel Thomas C. Chow, said only that the required vote had been obtained “based on preliminary voting results”. The final numbers came a day later:

Source: Strategy 8-K of 29 October, Item 5.07. The filing lists no broker non-votes. Proposal 2, a fallback in case votes fell short, also passed, but no adjournment was needed.

The board adopted the proposal on 24 September and Strategy announced it the next day, the record date for the vote. The definitive proxy went out on 5 October. Approval needed a majority of the voting power of all outstanding common stock, not just of the votes cast, and with nearly a third of that power in Saylor’s hands the meeting was close to a formality.

Shareholders have been asked a version of this question before. In June 2026 Strategy moved STRC from monthly to semi-monthly payments after a vote that passed with 99.9% of common votes cast and 97.5% of STRC votes cast, according to bitcointreasuries.net. The same report says Strategy has paid $255 million on the semi-monthly schedule since June.

STRC daily dividends in November: $1.00 a share, paid 3 or 4 cents at a time

Strategy set the November numbers before the vote. In an 8-K dated 15 October and filed on 16 October, the board declared a dividend for each calendar day from 1 to 30 November, payable to holders of record at 5:00 p.m. New York time and paid on the next business day. That filing’s table runs from Monday 2 November to Tuesday 1 December, though the STRC certificate names a different first date, as set out below.

The daily amount is $0.03 or $0.04 per share. Twelve percent of $100 comes to about 3.3 cents a day, which cannot be paid in fractions of a cent. The proxy explains the fix: each day’s amount is rounded down to the cent and the fraction is carried forward, and the last day of each half-month is not rounded. In the table attached to the October filing, that puts $0.04 on every third record date (3, 6, 9 November and so on) and $0.03 on the others, for $0.50 in each half of the month.

All of it hung on what the filing calls the Contingent Dividend Condition. Shareholders had to approve the change by 5:00 p.m. New York time on 31 October, and the second amended and restated STRC certificate had to be filed and in force by 12:01 a.m. Eastern time on 1 November. The 29 October 8-K says the vote passed and the certificate is filed, and that the November daily dividends are payable once it takes effect.

The condition decides which payment holders get. The same 8-K confirms that the semi-monthly dividend declared on 30 September, payable on 15 November to holders of record on 31 October, is not payable once the certificate is in force; the daily dividends take its place. If the condition is not met, the daily dividends lapse and the 15 November payment stands. The October filing says the two sets can never both become payable.

First STRC daily payment: Strategy’s documents give two dates

The filings do not agree on the day the first daily dividend is paid. The 15 October 8-K lists record date 1 November, payment date 2 November, $0.03, and says payments begin on 2 November. The proxy’s summary and a shareholder Q&A filed on 5 October say the same. The 29 October 8-K repeats that each dividend is paid on the business day after its record date, without naming a first date.

The STRC certificate reads differently. It sets the first regular payment date under the amended terms at 3 November and adds that “November 2, 2026 will not be a Regular Dividend Payment Date”. Any regular dividend paid on 2 November falls under the old certificate. That covers the last semi-monthly dividend, $0.50 a share, declared on 30 September for holders of record on 15 October. It fell due on Saturday 31 October, and the proxy expected it to settle on 2 November. The form of certificate annexed to the proxy carries the same 3 November wording, so this is no last-minute change.

Read literally, the certificate would pay the dividends for record dates 1 and 2 November together on 3 November, $0.06 on the October table. That is our reading, not a statement by Strategy. The 8-K table pays $0.03 on each of the two days. Either way the November total stays $1.00, and the gap is a day on three cents. We found no filing up to 29 October that explains it; the payment itself, or Strategy’s next weekly 8-K, may.

What the STRC certificate filed on 29 October says

The 8-K’s summary is short. Each amended certificate gives regular dividends a record date on every calendar day, payable, if declared, on the following business day. Strategy says this does not raise or cut total regular dividends, dividend rates or its overall payment obligations, and leaves the rights and protections attached to the dividends unchanged beyond the frequency and related changes.

The certificate adds detail. Dividends accumulate on each record date at the rate of the month that date falls in, even if the cash arrives the month after. Payment stays “when, as and if declared” by the board, which has no obligation to declare. Amounts left unpaid on a compounding date earn further dividends, compounded twice a month. A business day excludes weekends and days when the New York Fed is closed, so Veterans Day and Thanksgiving produce payments covering several record dates.

Strategy also said, as of 16 October, that it expects the November daily dividends to count as a non-taxable return of capital for US federal tax purposes, up to each holder’s tax basis in the shares. That is the company’s expectation, not a ruling from the tax authority, and the filing itself tells holders to consult their own tax advisers.

How daily dividends work on weekends and holidays

A record date on a Saturday sounds odd for a stock that trades only on weekdays. The 8-K of 28 October sets out the mechanics. Strategy fixes a record date for every calendar day, weekends and market holidays included. The Depository Trust Company (DTC), which holds most US-listed shares for brokers, treats a record date on a weekend or a DTC holiday as falling on the previous day that is not a holiday.

Nasdaq, where STRC is listed, then sets the ex-dividend date. If the record date is a trading day, it is also the ex-date; if not, the ex-date is the business day before. Record dates that land on consecutive DTC holidays share one record date, one ex-date and one payment date. Under T+1 settlement, a share bought on the ex-date settles too late to collect that dividend.

The filing gives its own example, the first full weekend of the new system:

Sources: Strategy 8-K of 28 October for the dates, 8-K of 15 October for the amounts.

Three dividends go ex on one Friday and all three arrive on Monday. Strategy expects someone who buys STRC on Friday 6 November to receive none of them, and someone who sells that day to receive all three.

Adding up the three amounts in the October filing gives exactly $0.10 a share for that weekend, by our calculation, or about 0.1% of a share priced near $99.80. A Monday holiday stretches the gap by one more day. Strategy warns that treatment may differ for shares not cleared through DTC, for trades on venues other than Nasdaq and under each broker’s policies, and it tells investors to check with their brokers.

Why Strategy wants to pay a dividend every day

Price is the reason. A preferred that pays twice a month carries up to two weeks of accrued dividend inside its price and then drops by about that much when it goes ex. Pay daily and the accrual is a single day, so the jumps around record dates get smaller. The board’s proxy lists support for price stability, better liquidity, stronger demand and a shorter wait for holders who reinvest their payouts. Decrypt reported the aim as helping to “dampen volatility”.

The last switch gives a hint of the effect. The typical ex-dividend price drop shrank from about 49 basis points under monthly payments to about 36 under semi-monthly ones, bitcointreasuries.net reported from Strategy’s figures. Going daily is the next step in the same direction; nobody has measured its effect on STRC yet.

The target is the $100 stated amount. The proxy says Strategy intends to keep STRC trading “at or close to” $100. “Our objective is for STRC to trade between $99 and $100, but generally we’re targeting $100 par value,” a Strategy executive was quoted as saying by bitcointreasuries.net in September. Management plans to recommend keeping the 12% rate until the shares show sustained trading near $100, Bitcoin.com News reported.

A rival went first. Strive’s SATA preferred has paid cash every US business day since 16 June 2026, at 13% a year on a $100 par, the first listed US stock to do so, according to bitcointreasuries.net. When Strategy floated its own version in September, Strive chief executive Matt Cole replied to Saylor: “Daily dividends are the way. Great move.” Strategy’s investor presentation counted five preferreds worldwide that would pay daily if the vote passed, worth about $15 billion combined, the same site reported.

The four Strategy preferreds after the change

The jump is largest for the three older preferreds, which pay quarterly today. Going from 4 record dates a year to 365 means about 90 times as many.

Sources: rates from the cover page of Strategy’s 8-K of 28 October and its 8-K of 15 October; dates from the 28 October filing. The proxy says the amendments change no rate and no total amount for any of the four.

STRC stayed under its $100 par on vote day

On the day of the vote STRC traded close to par, not at it. Decrypt put it at $99.86 on Wednesday, citing Yahoo Finance, without a time. Bitcoin.com News said it was “recently trading” at $99.78, its highest in nearly two weeks, in a report published at 11:20 a.m. New York time (15:20 UTC), and noted that the stock has not been at or above $100 since May.

It has been much lower. STRC fell into the mid-$70s in June, according to bitcointreasuries.net, and closed at $98.31 on 24 September. On Friday 16 October it closed at $97.72 (20:00 UTC), below the $99 to $100 band in which Strategy buys it back, as reported in our coverage of STRC’s fall to $97.72 as MSTR dropped 9.6%. At $99.80, the $12 yearly dividend works out to a current yield of about 12.02%, by our calculation.

STRC is large for a preferred. Saylor put the amount outstanding at more than $9 billion in September, and the stock trades more than $100 million a day, bitcointreasuries.net reported. Since January Strategy has repurchased 20,980,508 STRC shares for about $2.04 billion, at an average of $97.39, according to our report on its third-quarter results. About $956.7 million is left under the $3.0 billion programme.

What daily dividends do not fix: par, buybacks and cash

Paying daily changes when the money arrives, not how much is owed. At 12% on $9 billion of stated amount, STRC alone costs about $1.08 billion a year, close to $3 million for every calendar day, by our rough calculation. The other three preferreds come on top. That bill is the same whether it is paid in 24 slices or 365.

What the change could save is buyback money. Strategy has been spending heavily to hold STRC near par. Between 28 September and 11 October it put about $368.7 million into STRC buybacks against $50.2 million into bitcoin, Bitcoin.com News reported. In the week to 25 October it spent $204.9 million on STRC and bought no bitcoin, as detailed in our report on Strategy’s $205 million STRC buyback week. The board had already lifted its ceiling for preferred buybacks from $2.0 billion to $3.0 billion.

Buying STRC back at $99 uses cash. Paying the same dividend in smaller slices costs nothing extra. If smoother pricing keeps STRC near $100, Strategy may need fewer buybacks and could steer more of its fundraising back to bitcoin. For now it says it intends to keep buying while STRC trades below $100.

Cash is the number to watch. The third-quarter release of 29 October shows a USD Reserve of $4.83 billion and $242.4 million of USD Cash, $5.07 billion in all, which Strategy says covers about 3.4 years of preferred dividends and interest. On 11 October it had reported a reserve of $4.88 billion plus $640.5 million of other cash, as covered in our piece on Strategy spending more on STRC buybacks than on bitcoin. Its bitcoin stood at about 848,517 BTC, bought for $64.02 billion in total, roughly $75,446 a coin, unchanged in the week to 25 October. Bitcoin traded near $80,500 at 17:32 UTC on 28 October, according to Coindaro’s market data.

Index risk has not gone away either. MSCI is due to publish on 11 November the list of companies caught by its new rule on balance sheets dominated by a single asset, Decrypt reported. Strategy could be removed, as set out in our article on the MSCI rule that could drop Strategy and Metaplanet on 30 November. A daily dividend does not touch that question.

What the change means for STRC holders and bitcoin watchers

A holder who keeps the shares gets the same money. The 12% rate and the $1.00 for November are unchanged; the cash lands on most business days instead of twice a month, and the accrued dividend inside the price never builds up for long.

For anyone trading in and out, the calendar matters more than before. A purchase on a Friday, or on the business day before a market holiday, misses the dividends for the whole stretch to the next trading day; a sale on that day keeps them. Shares held through other custodians, including at some European brokers, may be booked differently, and Strategy itself says treatment can vary from broker to broker.

Tax outside the United States is an open question. Return of capital is a US federal tax notion. For a holder in France, Italy or elsewhere in Europe, STRC is a dollar-denominated preferred listed on Nasdaq, and we found no published guidance on how local rules treat these daily distributions. As listed shares they fall under securities rules, not MiCA. Strategy’s own filing points holders to their tax advisers.

For bitcoin readers, STRC matters because it has been one of the main ways Strategy raises money to buy bitcoin. Its price decides whether Strategy can sell new shares or has to buy old ones back. Daily dividends are a technical fix to that machine. They bring in no new money.

We found no published analyst reaction to the vote itself by the evening of 28 October, and no independent report of the final count by 1 November.

Next dates: 2, 3, 6 and 11 November

• Monday 2 November: the first daily payment date in the 15 October 8-K, and the day the last semi-monthly dividend is expected to settle. Strategy has filed its weekly bitcoin and buyback 8-K on recent Mondays, so another may come that day.
• Tuesday 3 November: the first regular payment date named in the STRC certificate.
• Friday 6 November: the first Friday on which three record dates go ex together.
• Wednesday 11 November: MSCI is due to publish the companies affected by its rule.
• Friday 1 January 2027: the first daily record date for STRF, STRK and STRD, whose amended certificates take effect at 12:01 a.m. Eastern time.

No filing up to 29 October sets the STRC rate for December.