DeFi Development Corp. Plans $20 Million Preferred Stock Offering with 13% Initial Dividend

DeFi Development Corp. (Nasdaq: DFDV) announced plans to raise up to $20 million through a public offering of its Variable Rate Series C Perpetual Preferred Stock, according to a company press release. The offering is subject to market conditions, and the company provided no assurance as to whether or when the transaction will be completed.

Offering Details

The securities, which the company refers to as "CHAD Stock," carry a high initial yield and several distinct features:

• Stated Value: The stock has a stated value of $10.00 per share.
• Dividend: It is set to accrue cumulative dividends at an initial annual rate of 13.00%, payable daily. The rate is variable and subject to adjustment according to the stock's terms.
• Maturity: The preferred stock is perpetual, meaning it has no stated maturity date.
• Dividend Reserve: Upon closing, DeFi Development Corp. intends to establish a dividend reserve equal to 12 months of payments, funded at $1.30 per share from its existing cash and digital assets.

The first regular dividend payment is scheduled for October 1, 2026. The company also expects to grant the underwriter a 30-day option to purchase up to an additional 15% of the shares offered.

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Use of Proceeds and Context

The Boca Raton, Florida-based firm stated it plans to use the net proceeds for general corporate purposes. This includes working capital, strategic transactions, and investments in digital assets, specifically mentioning the acquisition of Solana (SOL) tokens.

R.F. Lafferty & Co., Inc. is acting as the sole book-running manager for the proposed offering. The stock will be offered under a shelf registration statement on Form S-3 that was filed with the U.S. Securities and Exchange Commission and declared effective on April 27, 2026.