According to him:
“Our multiple-to-net asset value, MNAV, has been trending down and has been trending down over time as the Bitcoin asset class matures, as the volatility decreases.”
However, that lull may prove temporary, as the firm’s new financing channels are now in motion.
This includes a 10% euro-denominated perpetual preferred stock listed in Luxembourg and a variable-rate US issue that has just regained its $100 par value.
Together, the products could reopen the flow of capital into Strategy’s Bitcoin reserves and test whether yield-hungry investors will again fund Saylor’s $70 billion wager on digital scarcity.
Strategy’s latest quarter underscored both the pause and the potential. The firm reported $2.8 billion in net income, mainly from unrealized gains on its Bitcoin holdings, but added only a modest number of coins.
Industry analysts attributed the slowdown to lighter demand for the company’s common stock and its four listed preferred share offerings, which have long been its primary sources of funding.
“The company is struggling to keep them above face value, and daily trade volume is so light, nobody can put any size on. The demand is tepid.”
However, that may be changing as the firm expands internationally.
The dividend is cumulative and increases by 100 basis points per missed period, up to a maximum of 18%. It added that the proceeds from this fundraising will be used for “general corporate purposes, including Bitcoin acquisition.”
Notably, the economic backdrop favors experimentation.
With BBB yields near 3.5% and single-Bs around 6.5% (FTSE Russell), STRE’s 10% coupon stands out. Bitcoin analyst Adam Livingston said:
“Even before tax, STRE doubles high-yield and triples investment-grade coupons. After US tax-equivalent conversion the yield explodes to 15.9 percent thanks to its ROC treatment!”
Meanwhile, the European listing follows movement at home that could also reignite an additional source of funding for the firm.
During Strategy’s third-quarter earnings call, the firm announced that it would raise the coupon on its US-listed Variable-Rate Series A Perpetual Stretch Preferred (STRC) by 25 basis points to 10.5% in November.
The adjustment is meant to stabilize market pricing and keep the preferred near its $100 target.
Strategy’s investor Mark Harvey pointed out that this development would allow the company to sell new shares and funnel that liquidity into BTC.
“The TAM for $STRC is $33 trillion. That’s $33 trillion of yield-chasing capital, which is attracted to STRC like a magnet because it offers a higher yield (10.5%). Since Strategy aims to maintain the $100 target for STRC, it will follow its guidance and begin issuing new shares through the ATM to buy Bitcoin. Put simply, STRC above $100 means it will start funneling that $33T into BTC; a powerful catalyst for Bitcoin.”
“$100 STRC means Strategy can start ATMing shares to buy Bitcoin… Brand new source of funding unlocked.”
Indeed, Saylor had explained that “as the credit investors start to understand the appeal of digital credit, they’re going to want to buy more, and we’re going to sell more and issue more credit.”
He added:
“As the equity investors start to appreciate the uniqueness of the Bitcoin treasury model, and especially the uniqueness of our company and our ability to issue digital credit worldwide at scale, we think that that’s going to drive an appreciation of the equity.”
At its peak, Strategy Inc. was the most aggressive corporate buyer of Bitcoin.
That linkage could strengthen again because the revival of STRC and the debut of STRE create a two-continent funding loop capable of reigniting corporate Bitcoin accumulation.
According to him:
“One HIGHLY under-appreciated part of MSTR’s preferreds is the fact that they have tremendous liquidity that is backed by the most pristine asset in the world – Bitcoin. For reference, the average USD listed preferreds only has $1.1M in daily liquidity while the average Euro listed preferreds only has $1.0M in daily liquidity. Said another way, Strategy’s preferreds range from 12X-70X more liquid.”
That depth matters because a greater turnover reduces funding friction and accelerates the flow of capital between investor demand and Bitcoin acquisition.
So, if STRC holds its par value and STRE gains traction in Europe, each new tranche could act as a direct liquidity conduit from traditional markets into the crypto economy.
Moreover, Saylor’s model also reframes Bitcoin’s macro role as not merely a speculative reserve but a collateral base for yield engineering.
This provides a clear feedback loop, showing that healthy preferred markets enable new issuance, which finances Bitcoin purchases; these purchases, in turn, reinforce balance-sheet value and market perception of scarcity.
