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Strategy Inc. Unveils Capital Framework Featuring $2.55B Reserve and Bitcoin Sales Authorization
Summary
Strategy Inc. has announced a new capital management framework that establishes a $2.55 billion USD reserve, authorizes two $1 billion repurchase programs, and permits the sale of Bitcoin for specific financial purposes.
Strategy Inc. announced on June 29, 2026, the launch of a new Digital Credit Capital Framework designed to manage its financial resources. According to a company press release, the framework includes a new USD reserve policy, a revised dividend policy for certain preferred stock, two security repurchase programs, and a program to monetize its Bitcoin holdings.
As part of the new policy, the company reported a USD reserve of approximately $2.55 billion as of June 28, 2026. This amount is stated to cover about 17.4 months of its current annual expected preferred stock dividend payments and interest expenses. Strategy's board has established a requirement to maintain a minimum reserve equal to at least 12 months of these obligations, with any reduction below this level needing board authorization.
The framework also includes an increase in the dividend rate on its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) to 12.00% per annum, effective for periods with record dates on or after July 1, 2026. Additionally, the company authorized two separate $1.0 billion repurchase programs: one for its Digital Credit Securities and another for its class A common stock. These programs do not have a fixed expiration date and will not be funded from the USD reserve.
AdThe board has also authorized a BTC Monetization Program, which allows the company to sell Bitcoin for three stated purposes. These include generating up to $1.25 billion to build the USD reserve, funding preferred dividend and interest payments, and funding the security repurchase programs.
Strategy Inc. stated that the combination of its $2.55 billion reserve and the potential funds from Bitcoin sales provides a total liquidity coverage of approximately $3.80 billion, equivalent to about 25.9 months of its current annual obligations. "Strategy is evolving from one-way capital issuance to active capital management," said Phong Le, Chief Executive Officer of Strategy.