Record High Trading Day for STRC Offering
STRC achieves its highest trading volume ever in a single day, raising significant capital for Bitcoin purchases.
On March 12, the STRC preferred stock program achieved a remarkable record in a single day by generating enough capital to support the purchase of 4,000 BTC. According to BitcoinTreasuries, that week alone was sufficient to acquire over 10,000 BTC, attracting the interest of investors who are closely monitoring the aggressive expansion of the world’s largest corporate Bitcoin holder.
Unprecedented Trading Volume for STRC
BitcoinTreasuries reported a staggering volume of approximately 7.3 million shares traded during the March 12 session, a 471% increase compared to the average daily volume. This high level of trading is a significant indicator of interest in STRC.
The trading platform employs a method that analyzes one-minute candles for STRC throughout the trading day, accounting for pre-market and after-hours activities. For each transaction that closed at or above $99.92, it attributed 40% of the volume to at-the-market (ATM) issuance. After deducting a 2.5% underwriter commission, the net proceeds were calculated using the average Bitcoin price for the session.
The trading on March 12 yielded over $283 million in net proceeds, calculated against Bitcoin’s average price of around $70,000. This amount equated to the ability to buy 4,000 BTC, marking a significant milestone for the program.
The total trading volume pushed towards an estimated $743 million, prompting comments from observers such as Mark Harvey, who predicted that the day had the potential to be STRC’s first $1 billion trading day, especially with two hours remaining before the market closed.
STRC’s Unique Stock Structure
The STRC stock provides a variable monthly dividend currently at an annualized rate of 11.5%, designed to keep trading activities close to its par value. This structure allows investor capital to be directly channeled into Bitcoin purchases while offering a yield-focused product that typically fluctuates less than Strategy’s common MSTR stock.
In Harvey’s example, if $100,000 of STRC is issued at an 11.5% yield to purchase BTC, the fixed yearly dividend obligation would be $11,500. This obligation remains unchanged even if Bitcoin’s value appreciates significantly, thus benefiting shareholders with profits from the asset’s growth.
As of the latest filing on March 9, Strategy held 738,731 BTC, with recent acquisitions including 3,015 BTC bought on March 2 and an announcement of 17,994 BTC purchased for $1.28 billion on March 9. Presently, these holdings are valued at about $53.1 billion, despite the company having invested just over $56 billion.
