Strategy's Variable Rate Series A Perpetual Stretch Preferred Stock, known as STRC, closed at $89 on Wednesday after touching an intraday low of $88.51. The drop marks a new record low for the security and places it about 11 percent below its $100 par value.
The preferred stock is designed to trade near $100 through monthly dividend adjustments. With the price now below par, Strategy has paused its at-the-market share issuance program that previously funded Bitcoin purchases.
Options traders have taken bearish positions, with put open interest at 8,951 contracts compared with 7,906 calls for June 18 expirations. The company holds 846,842 Bitcoin valued at roughly $54.2 billion at recent prices.
Strategy sold 32 Bitcoin for about $2.5 million in late May to cover preferred dividends, its first such sale since 2022. Bitcoin traded near $64,000 to $65,000 this week.
