STRC Returns to $100; MicroStrategy May Sell Bitcoin

MicroStrategy’s perpetual preferred, STRC, returned to its $100 par value on Friday after finishing the regular session at $99.99 and reaching $100 in extended trading. Trading liquidity exceeded $218 million. The issue took 10 trading days to recover from a recent dividend-driven drop. STRC’s dividend mechanism increases yields when the preferred price falls to support the $100 face value.

The rebound clears the way for the company to raise equity and gives it flexibility to sell assets to meet dividend obligations. At the Q1 earnings Q&A, Michael Saylor said, “We’ll probably sell some Bitcoin to fund a dividend just to inoculate the market.” President and CEO Phong Le added the company would sell Bitcoin if doing so benefited shareholders.

Markets reacted to those comments: more than 82% of bettors on the prediction platform Myriad expect MicroStrategy to sell some Bitcoin. Some traders have speculated the firm could resume purchases as soon as Monday, May 11. Others expect the company to lower STRC dividend rates if demand for the preferred outstrips supply.

MicroStrategy’s treasury holds more than 818,000 Bitcoin, with a market value above $65 billion. Data from an STRC ATM tracker shows recent offerings raised cash equal to just over eight Bitcoin. Since March, STRC sales have raised about $1.5 billion, roughly one-third of the preferred’s estimated $5 billion market value. Company officials report about 80% of STRC shares are held by retail investors, compared with about 40% of common stock.

Concerns about quantum computing have entered the discussion. A report by Project Eleven warns that more than $3 trillion in digital assets could be vulnerable to theft within four to seven years if quantum computers break elliptic curve digital signatures. The report says quantum algorithms could derive private keys from public keys, allowing forged signatures, and projects current cryptographic standards could be at risk by 2030 to 2033. It estimates a five- to 10-year timeline to migrate to quantum-resistant systems.

The report highlighted that about 1.7 million Bitcoin sit in older P2PK addresses whose public keys are exposed on-chain, creating immediate targets if a practical quantum attack appears. A separate estimate from Google Quantum AI has suggested up to 6.9 million Bitcoin could be vulnerable under some scenarios.

BitGo CEO Mike Belshe criticized Project Eleven’s findings, saying the company may benefit from heightened fear about quantum computing. The Bitcoin community remains divided on technical responses. Proposed options include migrating to one-time Lamport signatures or adopting standards such as BIP-361; both would require broad consensus and could involve network changes that some participants oppose.

MicroStrategy has not announced a final plan for selling or buying Bitcoin. The company faces decisions about meeting STRC dividend obligations, satisfying investor demand for the preferred, and addressing longer-term quantum-security concerns.