Crypto Scenario Insights

Strategy’s STRC Preferred Stock De-Pegs from Par — Yield Arbitrage or Structural Credit Risk?

What happened

Strategy's bitcoin-backed preferred stock (STRC) has fallen to $91.79, trading at an 8% discount to par. Capital is migrating to Strive's SATA due to superior yield, daily payouts, and a debt-free capital structure, expo…

What we think

The most likely outcome is that STRC remains anchored at a 5% to 10% discount to par ($90.00 to $95.00) with a 55% probability, driven by a depleted 7-month dividend runway and intense yield competition from Strive's SAT…

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Strategy’s STRC Preferred Stock De-Pegs from Par — Yield Arbitrage or Structural Credit Risk?

We explain what happened and what could follow. We do not forecast prices.

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