PANews January 22 News, according to CoinDesk, the credit risk of Bitcoin Treasury company Strategy has eased, as its perpetual preferred stock has a nominal value of $8.36 billion, surpassing the $8.2 billion in convertible debt. This capital structure shift to permanent capital reduces refinancing risk and balance sheet volatility. Convertible bonds carry maturity refinancing risk and volatility linked to stock prices, while perpetual preferred stock does not require principal repayment and pays fixed dividends, with a priority level between common equity and debt.
The company’s preferred stock portfolio includes four instruments, with an annual dividend total of approximately $876 million. Additionally, Strategy holds $2.25 billion in reserves to improve dividend coverage and reduce short-term financing risk. The number of common shares outstanding has increased from 76 million in 2020 to over 310 million, which may alleviate dilution pressure from future bond conversions.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Bitcoin futures demand sinks to 2024 lows: Are institutions exiting?
Bitcoin (CRYPTO: BTC) staged a cautious recovery, rising roughly 10% from a Saturday retest near $63,000 as traditional markets moved in a contrasting direction amid geopolitical tensions in the Middle East. The uptick offered a measure of relief for bulls, yet a closer inspection of the
CryptoBreaking42m ago
3 Green Days Power Strong Crypto ETF Week as Bitcoin ETFs Add $787 Million
Crypto exchange-traded funds (ETFs) closed the week of Feb. 23–27 with strong net inflows, led by $787 million into bitcoin funds. Ether, solana, and XRP products also posted weekly gains despite late-week volatility.
Combined $921 Million Inflow for Crypto ETFs Despite Friday Pause
Momentum
Coinpedia52m ago
Bitcoin ETFs See Daily Outflow of $35.9M While Solana ETFs Continue Weekly Growth
Gate News bot message, according to the March 2 update, Bitcoin ETFs recorded a 1-day net outflow of 548 BTC (-$35.9M), while maintaining a 7-day net inflow of 11,213 BTC (+$734.4M).
Ethereum ETFs showed a 1-day net outflow of 12,307 ETH (-$23.75M), with a 7-day net inflow of 36,108 ETH (+$69.69M)
GateNews1h ago
Bitcoin Undervalued vs Gold: Analyst Signals Rally Ahead
Bitcoin (CRYPTO: BTC) is widely cited as undervalued when measured against traditional stores of value like gold and the broad money supply, according to Samson Mow, the chief executive of Bitcoin technology firm Jan3. In a Saturday post on X, Mow argued that BTC sits roughly 24% to 66% below its tr
CryptoBreaking2h ago
