STRC continues to plummet in price, facing criticism from key opinion leaders (KOL). It is expected that Saylor will once again sell his holdings to drive STRC back to its face value.

June 18 – STRC extended its declines following today’s market open, changing hands at $85.9 as of current trading, marking a 3.44% daily loss. Overseas key opinion leaders (KOLs) have raised questions about the product, noting it was once heavily marketed as a safe, family-oriented investment that outperformed high-yield savings accounts with virtually no price volatility. Arete Capital partner McKenna added his analysis, stating the market is awaiting typical summer-end volatility and Michael Saylor’s planned Bitcoin sales. He projected Saylor will eventually sell a portion of his Bitcoin holdings to push STRC back toward its $100 face value, a move that would spark a natural buying rush for the asset. According to reports, STRC is a preferred stock issued to fund Bitcoin purchases, with a face value roughly anchored at $100 and a high dividend yield. Its dividend rate is adjustable based on market conditions, with the core objective of keeping STRC’s trading price as close to its face value as possible. STRC’s sharp de-pegging from its face value signals investors are demanding higher yields, and confidence in the product’s creditworthiness and dividend stability is waning. The issuer, Strategy, previously relied heavily on STRC issuances to finance Bitcoin buys; when STRC trades below its face value, issuing new shares is no longer cost-effective, equivalent to borrowing at a higher interest rate. Consequently, Strategy’s ability to continue acquiring Bitcoin will be diminished.