STRF (STRIFE) - SENIOR PERPETUAL PREFERRED

STRF is Strategy's senior-most perpetual preferred share series. The instrument pays a fixed 10 percent annual dividend in cash, distributed quarterly. Cumulative: any skipped dividend continues to accrue as an obligation of Strategy until paid.

Key terms

• Dividend rate: 10 percent of stated value per year
• Stated value: USD 100 per share
• Payment frequency: Quarterly in cash
• Cumulative: Yes
• Seniority: Senior to MSTR common, STRC, STRK, STRD (top of the preferred stack)
• Step-up penalty: Dividend rate increases up to 18 percent on missed payments
• Governance rights: Yes, on missed dividends

Why investors hold STRF

STRF combines a high coupon, the most senior position in Strategy's preferred stack, and contractual step-up protection if Strategy ever skips a payment. It is Strategy's most defensive income instrument and the most direct way to participate in the Bitcoin treasury thesis through fixed-income economics rather than equity.

STRF is explicitly tied to Strategy's Bitcoin financing programme but is not collateralised by Strategy's Bitcoin-innehav. The dividend obligation ranks ahead of common equity but behind the Konvertibla seniora skuldebrev in the company's capital structure.

Sources

Strategy investor page strategy.com/strf/learn. Latest 10-Q balance sheet entry. Outstanding aggregate liquidation preference and live yield tracked on the preferred shares page and on /mstr/ capital structure.