The Strategy Director announces a new financial instrument - perpetual preferred shares to mitigate volatility

robot
Abstract generation in progress

CEO Phong Le of Strategy unveiled an ambitious plan to expand financial options for its investors. The company has decided to issue a new type of investment instrument — perpetual preferred shares with the code name “Stretch” — designed to provide investors with a more stable exposure to digital capital while reducing their risk associated with market volatility.

How the new investment instrument Stretch works

The product, developed under the leadership of the CEO, is a sophisticated system where the interest rate adjusts monthly. Currently set at 11.25 percent annually, these dynamic adjustments are designed to keep the share price stable around its nominal value of $100. This elegant solution protects investors from sharp fluctuations that typically accompany traditional digital asset investments.

Financing strategy and the role of preferred shares

As CEO Phong Le mentioned in an interview with sources including Odaily, preferred shares still represent only a small portion of the company’s overall financial mix. Over the past three weeks, Strategy has secured approximately $370 million through common stock issuance, while $7 million has been allocated to perpetual preferred shares. This diversification of sources enables the company to fund its extensive Bitcoin purchases and other digital investments.

Massive Bitcoin portfolio — a key market position

Strategy currently owns over 714,000 bitcoins, valued at approximately $48 billion. Such a position makes the company one of the key players in the digital asset market. The new approach introduced by the management team under CEO Phong Le is thus a response to the need to make investment opportunities in this strategic asset class accessible to a broader range of investors.

BTC-5,34%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)