Peter Schiff to Michael Saylor: “What Will You Sell Next?” as STRC Vote Looms
Michael Saylor is urging STRC shareholders to vote on a proposal that may shift the popular inventory’s dividend funds from month-to-month to semi-monthly, with the deadline set for June 8.
The push coincides with contemporary criticism from gold advocate Peter Schiff, who argues that Strategy is burning by its money reserves and faces a rising liquidity downside.
Saylor Calls Shareholders to the Ballot
The STRC semi-monthly dividend proposal would hold the annualized yield at 11.5% whereas doubling payout frequency. Strategy says the change would cut back reinvestment lag, enhance market effectivity, and assist worth stability across the instrument’s $100 par worth.
Both MSTR and STRC holders should approve the modification for it to take impact. If handed, the primary file date below the revised schedule would fall on June 30.
Saylor framed the change as a sensible profit for retail shareholders. STRC draws roughly 80% retail ownership, which means extra frequent payouts have a direct impression on how most holders handle their revenue.
Strategy has held the STRC rate at 11.5% since April, following seven consecutive month-to-month hikes. The vote on frequency is separate from the board’s rate-setting course of.
Schiff Presses the Liquidity Argument
Schiff’s case in opposition to Strategy targets the underlying mechanics. He argues the agency raises money by promoting STRC shares and makes use of these proceeds to purchase Bitcoin (BTC). Fresh fairness issuance is then wanted to fund the following dividend cost as a result of BTC generates no money move. Schiff doubled down on that critique, warning:
“You’re operating out of money. What will you promote subsequent to hold the wheels from falling off?”
He has referred to as the construction a Ponzi scheme. Those claims carry extra context after Strategy’s most up-to-date stability sheet transfer. The agency used its cash reserve to retire debt, spending $1.38 billion to repurchase $1.5 billion of 2029 convertible notes at an 8% low cost.
That left roughly $871 million within the USD Reserve, down from roughly $2 billion earlier than the transaction. Saylor acknowledged throughout Q1 2026 earnings that Strategy may promote BTC to cowl dividends if different capital sources ran quick, a press release Schiff cited as confirming his considerations.
Strategy paused Bitcoin purchases for one week whereas the buyback settled, although it added 24,869 BTC earlier in the identical window utilizing STRC and fairness proceeds. Total holdings now stand at 843,738 BTC.
How retail STRC holders vote on June 8 will supply a learn on whether or not revenue buyers nonetheless belief the yield mannequin Schiff has questioned for months.
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