Michael Saylor’s $250M Bitcoin Frenzy: Is This the Best Investment Ever?

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Well, folks, if you’ve ever wondered what it might look like when a company goes all in on Bitcoin, look no further than Strategy—formerly known as MicroStrategy. In a bold move, this Bitcoin-obsessed firm is aiming to raise $250 million through a fresh round of initial public offerings (IPOs). The plan? To buy even more Bitcoin, of course. Because, why not?

Strategy, with its ever-expanding appetite for cryptocurrency, is about to issue 2.5 million shares of its 10% Series A Perpetual Stride Preferred Stock. Yes, that’s a mouthful. The ticker symbol? STRD, because why settle for a plain ol’ stock when you can make it sound like a secret code? At $100 a share, it’s a bargain… if you’re into things like owning a tiny slice of a company that’s basically in a Bitcoin hoarding competition with itself.

All that cash? Oh, don’t worry, it’s not going to a yacht (well, maybe a yacht for the execs). The money will be funneled straight into buying more Bitcoin and covering some operational costs. Because Bitcoin doesn’t stack itself, you know?

Now, if you’re wondering how these fancy “perpetual preferred stocks” work, let me break it down for you. These stocks pay a fixed dividend—forever. No expiration date. But, and here’s the fun part, you might never see a dime if the board of directors decides they’re feeling stingy. So much for guaranteed returns!

But hey, if you do get lucky and dividends are declared, you’ll get them every quarter—starting at the end of September 2025. Just remember, it’s all non-cumulative. So if you miss a check, tough luck. Move along.

The $250 million could get them a cool 2,351.8 Bitcoin, at today’s market rate of $106,325. Not too shabby, right? Strategy, under the watchful eye of Michael Saylor—yes, the guy who probably dreams in Bitcoin—is the world’s largest corporate Bitcoin holder, sitting on a whopping 580,955 BTC worth over $61.7 billion. That’s more than the other 117 Bitcoin-holding companies combined. Talk about a power move.

Of course, there are no guarantees in life. STRD holders might not get those sweet dividends if the company’s board doesn’t feel like paying them out. But if you’re the type who enjoys playing high-stakes poker with a side of “we might or might not buy more Bitcoin,” then this is your jam.

STRD Holders Aren’t Guaranteed Dividends

So, you’re holding onto STRD, hoping for a payout? Well, don’t get your hopes too high. You’re eligible for a 10% annual dividend—but only if the board is in the mood to declare it. And don’t even think about rolling over your missed dividends, because those little treasures don’t carry over. If you don’t get paid this year, just keep waiting. It’s all part of the fun!

But if you do get lucky, those dividends will roll in at the end of every quarter, starting Sept. 30, 2025. The suspense is real, isn’t it?

Now, if Strategy decides to call it quits or goes through some “fundamental change” (which sounds mysterious and important), STRD holders can force them to buy back their shares. That means you’ll get your $100 back—plus any unpaid dividends. It’s like a consolation prize, but better than nothing.

Managing this whole circus? Oh, just some of the big names on Wall Street: Barclays, Morgan Stanley, Moelis & Company, and TD Securities. Plus, a couple of investment firms you’ve probably never heard of, like The Benchmark Company and AmeriVet Securities. They’re all here, making sure you can bet your money on the next big Bitcoin splurge.

This offering is happening under an effective shelf registration statement filed with the US Securities and Exchange Commission, just so you know. Not that you really needed that detail, but hey, we’re all about the facts here.

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2025-06-03 06:03