- Shareholders approved amending the certificates of designations for Strategy’s STRF, STRC, STRK and STRD preferred stock to allow daily rather than monthly or semi-monthly dividend payments, by a vote of 381,373,199 to 2,236,551
- The amendment does not change each series’ underlying dividend rate or total dividend obligation, only the frequency and timing of payments
- The STRC change takes effect at 12:01 a.m. Eastern time on November 1, 2026, with STRF, STRK and STRD following on January 1, 2027
At a special shareholder meeting held October 28, 2026, Strategy shareholders voted to approve amended and restated certificates of designations for four series of the company’s preferred stock, allowing each to pay dividends on a daily basis rather than their current monthly or semi-monthly schedules, according to an 8-K filed with the SEC on October 29.
The main proposal passed decisively, with 381,373,199 votes in favor against 2,236,551 opposed and 444,753 abstentions. A second proposal, which would have authorized the company to adjourn the meeting if more time were needed to solicit proxies, also passed but ultimately proved unnecessary once the main proposal cleared with sufficient support on its own.
The filing is specific that the structural change is limited to payment frequency and related conforming changes. The amended certificates provide for a record date on each calendar day, with dividends payable on the following business day, but the company states the change does not alter the total regular dividend amount owed, the stated dividend rates for any of the four series, or Strategy’s overall dividend obligations. The underlying economics, in other words, stay the same; only the cadence of when holders actually receive payment shifts.
The four series affected carry different effective dates and different stated rates. STRC, the company’s variable-rate Perpetual Stretch Preferred Stock, moves to daily dividends first, effective 12:01 a.m. Eastern time on November 1, 2026. STRF, a 10.00% Perpetual Strife Preferred Stock, STRK, an 8.00% Perpetual Strike Preferred Stock, and STRD, a 10.00% Perpetual Stride Preferred Stock, all follow with the same change effective January 1, 2027. Because STRC’s amendment took effect in time, its semi-monthly dividend originally scheduled for November 15, 2026 will not be paid separately, since daily payments covering that period will already be in effect.
The vote is part of a broader pattern at Strategy of restructuring its various preferred stock instruments, which the company uses extensively to raise capital for its bitcoin purchases without diluting common shareholders as directly as issuing new common stock would. The full vote results and amendment details are filed on SEC EDGAR.
Disclaimer: Cryip's content is strictly for educational and informational purposes and does not constitute financial, legal, or investment advice. Cryptocurrency involves significant risk, and readers assume full responsibility for their own financial decisions. Asset references are never endorsements.
To make complex crypto topics accessible to readers at all experience levels, our team uses AI tools strictly to refine language, correct grammar, and simplify terminology. AI is never used to draft facts, source information, or form conclusions. Every article is fact-checked and approved by a human editor before publication. Read our full AI Use & Content Policy.
