Stretch (STRC), the perpetual preferred equity issued by Strategy (MSTR) the world’s largest corporate bitcoin holder reclaimed its $100 par value during Wednesday’s U.S. session for the first time since mid-January.
STRC trading at or above par enables the company to resume at-the-market (ATM) offerings to fund further bitcoin acquisitions. STRC last hit the $100 level on Jan. 16 when bitcoin hovered near $97,000; however, as the largest cryptocurrency by market capitalization retreated to as low as $60,000 by on Feb. 5, STRC dipped to a low of $93 before its recent rebound.
Positioned as a short-duration, high-yield credit instrument, STRC currently offers an 11.25% annual dividend distributed monthly. To mitigate volatility and incentivize trading near par, Strategy resets this rate monthly, recently hiking it to the current 11.25% yield.
MSTR common stock faced pressure, sliding 5% on Wednesday to close at $126, as bitcoin hovers around $67,500.
More For You
Last week's rout delivered bitcoin's biggest realized loss ever; bottoming signals grow
The Feb. 5 shock booked the largest-ever realized loss — $3.2 billion — in bitcoin history.
What to know:


