Strategy's yield-generating STRC stock is more correlated with BTC than ever
CoinDesk 2026-06-25 17:48:18
Context: Strategy Inc.'s perpetual preferred stock, STRC, has become increasingly correlated with bitcoin's price movements, undermining its appeal as a relatively steady income vehicle. The 90-day correlation coefficient between STRC and bitcoin has climbed to nearly 0.70, the highest level since its July 2025 debut. This shift has significant implications for investors seeking steady income from STRC, which is tied to the company's large bitcoin holdings.
Key Facts
- Strategy Inc.'s perpetual preferred stock, STRC, has seen its 90-day correlation with bitcoin climb to nearly 0.70, the highest level since its July 2025 debut.
- STRC has dropped 23% this month to $76 while bitcoin has fallen nearly 20% to below $60,000, undermining STRC's role as a relatively steadier income vehicle tied to the company's large bitcoin holdings.
- The current annualized dividend rate for STRC is 11.5%, and the board adjusts it monthly to encourage trading near par, with the stock currently trading well below the $100 par value.
- Strategy Inc. owns 847,363 BTC worth $50.4 billion, according to BitcoinTreasuries.net, and has recently made small BTC sales to cover dividend obligations, marking a dramatic shift from its long-standing "never sell" stance.
- The tightening correlation between STRC and bitcoin means that STRC no longer provides as much decoupling from the cryptocurrency's volatility, changing the risk profile for investors seeking steady income from the preferred stock.