- Before the dividend payment, investors bought the company’s shares Strategy, which resulted in trading volume reaching a record $1,53 billion.
- Peter Schiff believes investors are shifting money away from Bitcoin itself in pursuit of STRC’s 11,5% annualized yield.
Michael Saylor said STRC’s stock saw record trading activity of $1,53 billion with volatility of just two cents. Strategy CEO Phong Ly also named this session a “record day.”
The sharp increase in activity occurred as traders took positions in Strategy preferred shares ahead of the May 15th dividend payment. STRC trading volume had remained high for several weeks, indicating that investors continued to fund Strategy’s Bitcoin accumulation strategy through this profitable instrument.
Michael Saylor’s data
The rise in trading volumes coincided with discussions about how Strategy is funding its Bitcoin purchases.
The company currently holds 818,869 BTC and continues to raise capital through the sale of common shares and the issuance of STRCs. Critics, led by seasoned investor Peter Schiff, argue that the structure relies too heavily on constant demand for new shares.
Schiff recently named STRC “classic centralized financial pyramid” He added that investors are shifting money away from Bitcoin itself in pursuit of STRC’s 11,5% annualized yield.
Controversy was also caused by Michael Saylor’s statement that the organization can sell A portion of the coins will be used to pay dividends. He also promised that selling bitcoins to cover STRC’s liabilities will have virtually no impact on the market, as Strategy will remain a net buyer.
According to Saylor, even if the company sells Bitcoin, it will still buy approximately 20 BTC for every BTC sold.
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