Strategy preferreds
STRK vs STRC
Strategy (MSTR) issues five perpetual preferred stocks. This page compares the two that BTC-thesis investors most often weigh against each other for yield, optionality, or both: STRK and STRC. They have different structures, different yields, and very different exposure profiles to Bitcoin.
Side-by-side
| Feature | STRK (Strike) | STRC (Stretch) |
|---|---|---|
| Dividend | 8% fixed, cumulative | Variable, reset monthly, paid twice a month (9% at launch; 12% for periods from October 16, 2026) |
| Convertible to MSTR? | Yes, at $1,000/share | No |
| BTC torque | Capped, with floor | Effectively zero |
| Behaves like | Convertible preferred | Floating-rate credit (perpetual, no maturity) |
| Trades on | Nasdaq | Nasdaq |
STRK — the convertible
STRK ("Strike") is an 8% perpetual preferred with a conversion right into MSTR common at $1,000 per share. That conversion is currently deep out-of-the-money — MSTR trades far below $1,000 (live price on the dashboard) — but it's perpetual, so the option never expires. If MSTR appreciates above $1,000, STRK holders capture upside through the conversion.
This makes STRK behave like a convertible bond: steady yield with a long-dated call option on MSTR. The BTC torque is muted but non-zero — STRK rises when MSTR breaks meaningfully higher.
STRC — the variable-rate yield
STRC ("Stretch") is a variable-rate perpetual preferred with no conversion right. Its dividend resets monthly — in 0.25% increments — to keep the share price hugging its $100 stated amount: if STRC trades below $100, the rate rises to attract buyers. It launched at a 9% annual rate in 2025 and was raised to 12% in July 2026; Strategy's October 1, 2026 8-K kept it at 12.00% for the semi-monthly periods from October 16, 2026, or $0.50 per share per period. Because the rate floats to stabilize price, STRC behaves more like floating-rate credit than long-duration fixed income — but it is a perpetual preferred with no maturity, not a cash equivalent: it fell to about $75 in June 2026 before the rate hike pulled it back toward par. Dividends have been paid twice a month since 15 July 2026. Strategy has proposed daily dividend record dates instead (8-K, September 25, 2026): stockholders vote at a special meeting on October 28, 2026, and if the change is approved the first daily STRC dividend would be paid on November 2, 2026.
STRC suits investors who want yield from Strategy's BTC-backed capital structure with minimal price volatility and without taking BTC torque. The trade-off: no equity-like upside if MSTR or Bitcoin rallies.
Which one fits your stack?
- You want yield + BTC upside optionality: STRK
- You want pure yield from BTC-backed credit: STRC
- You want maximum BTC torque: MSTR common (see BTC torque)
- You want low-vol BTC exposure: spot BTC ETFs (IBIT, FBTC, ARKB, BITB)
Track them in your portfolio
The BTC Exposure dashboard supports both STRK and STRC alongside BTC, MSTR, and spot ETFs. It computes your blended effective BTC exposure and shows live prices for each instrument.
Related concepts
- What is mNAV?
- BTC torque — MSTR's Bitcoin leverage
- Sats per share — Saylor's accretion KPI
- STRF (Strife) — Strategy's senior 10% preferred
- STRD (Stride) — Strategy's junior 10% preferred
- All five Strategy preferreds compared
- How much Bitcoin do you actually own? — the long read
- Does MSTR pay a dividend? — common vs the five preferreds
- Are Strategy's preferreds safe?
Last updated October 8, 2026. Educational information only — not investment advice. Verify all terms against Strategy's SEC filings before investing.