Svmuu News: Jiang Zhuoer posted on X, stating that Strategy’s preferred stock, STRC, has significantly decoupled from its underlying asset, dropping to a low of approximately $73, reflecting a temporary wave of panic among U.S. stock market investors regarding Bitcoin (BTC)-related assets.Concerns about “systemic risk” (such as FUD) have been amplified in the market. Theoretically, Strategy could still raise funds by issuing additional common stock; however, in an environment where mNAV is less than 1, such an issuance would result in a decrease in the number of coins per share, constituting a “dilutive financing method” and thus considered a high-cost operation.
Jiang Zhuo’er added that Strategy has utilized this financing method multiple times over the past three weeks: in the first two weeks, part of the funds was used to purchase approximately 1,500 BTC, while in the third week, although the scale of the share issuance expanded, the volume of BTC purchased dropped to about 520 BTC, with most of the funds used to maintain STRC dividend payments.Based on this, it can be concluded that the company’s short-term strategy has clearly shifted toward “prioritizing STRC interest payments,” implying that the pace of BTC accumulation may slow significantly in the coming months or even halt temporarily.However, STRC is essentially preferred stock rather than a debt instrument, and there is no mandatory liquidation mechanism; Strategy’s overall debt-to-equity ratio is approximately 10%, and as long as BTC does not enter a prolonged, deep bear market, the probability of a “sudden default” is low.
Opinion: STRC Decouples to $73; MSTR May Enter a “Prioritize Interest Payments” Phase
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Source:Odaily · Source Link
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