Strategy's 3rd Preferred: Why STRD Is The Genius Gear In Its Bitcoin Accumulation Engine
Summary
- MicroStrategy's new STRD preferred stock offers a 10% yield, targeting yield-seeking, risk-tolerant investors.
- STRD sits below STRF and STRK in seniority, increasing risk but also enhancing the creditworthiness and market appeal of senior preferreds.
- This capital stack innovation will allow MSTR to raise funds at lower costs, maximizing Bitcoin accumulation while minimizing dilution for common shareholders.
- Saylor's financial engineering is a masterclass in leveraging capital structure to optimize Bitcoin exposure and shareholder value.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of MSTR, BTC-USD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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