Strategy STRC daily dividend vote on Oct 28 decides $1.00 payout

Key takeaways

• Strategy Inc. (Nasdaq: MSTR) holds a special meeting on October 28, 2026, at 10:00 a.m. ET, where common stockholders vote on making every calendar day a dividend record date for STRC and three other preferred stocks.
• The board has already declared conditional daily STRC dividends for November totalling $1.00 per share, equal to a 12.00% annual rate, payable only if the vote passes by October 31.
• In the week of October 12-18, Strategy bought 267 BTC for $22.1 million, lifting holdings to 848,517 BTC, and repurchased $193.1 million of STRC.
• The board raised its preferred stock buyback authorization to $3.0 billion from $2.0 billion, leaving $1.16 billion available as of October 18.

The Strategy STRC daily dividend vote on October 28 decides whether STRC pays a dividend for each day of November, totalling $1.00 per share, instead of twice a month. According to an SEC 8-K dated October 15, they apply only if stockholders approve.

The proposal also covers Strategy's other listed preferred shares, STRF, STRK and STRD. The company says dividend rates and total annual payouts would not change; only the timing of record dates and payments would. The vote comes in the same month that Strategy expanded its STRC buybacks and kept adding bitcoin, so the three moves are best read together.

What the Strategy STRC daily dividend vote decides

Strategy filed a preliminary proxy on September 25, 2026, and began mailing its definitive proxy on October 5, according to an SEC filing dated October 13. Stockholders are asked to approve amendments to the certificates of designation for four perpetual preferred stocks: STRC (Stretch), STRF (Strife), STRK (Strike) and STRD (Stride).

Under the amended terms, every calendar day, including weekends and holidays, would become a record date. Anyone holding the shares on a given day would earn that day's dividend. Payment would still arrive on the next business day. A Strategy executive identified as Mr. Jain, quoted in proxy materials the company filed on October 13, said the aim is to "match the economics or dividends perfectly to the ownership period", while noting that "the banking system still isn't there" for weekend payments.

Only holders of Strategy's Class A and Class B common stock as of the September 25 record date can vote. Preferred holders do not vote on the change. Unchained, citing the preliminary proxy, reported that approval requires a majority of the voting power of all outstanding common shares, which means that shares not voted count against the proposal. The same report said Executive Chairman Michael Saylor controls about 32.9% of total voting power, mostly through Class B shares that carry ten votes each. Strategy's materials say online voting closes at 11:59 p.m. ET on October 27, the night before the meeting.

How daily STRC dividends would work in November

The October 15 8-K sets out the exact schedule if the proposal passes. The board declared a daily cash dividend for each day from November 1 to November 30, 2026:

• $0.04 per share for ten record dates: November 3, 6, 9, 12, 15, 18, 21, 24, 27 and 30;
• $0.03 per share for the other 20 November record dates;
• a total of $1.00 per share for the month, which the filing describes as a 12.00% annual rate on STRC's $100 stated amount.

Each dividend is paid on the business day after its record date, so payments run from November 2 to December 1. Weekend record dates are bundled: for example, the payment on Monday, November 23 covers record dates of November 20, 21 and 22.

The plan has a built-in fallback. The daily dividends are payable only if stockholders approve the amendments by 5:00 p.m. New York time on October 31 and the amended STRC certificate is effective by 12:01 a.m. ET on November 1. If that happens, the previously declared semi-monthly dividend payable November 15 (record date October 31) is cancelled. If it does not, the November 15 dividend is paid and Strategy expects to return to its semi-monthly schedule. The filing states that both cannot become payable.

For STRF, STRK and STRD, which currently pay quarterly, Strategy's materials say daily dividends would begin on January 1, 2027, after a final quarterly record date of December 15. The company also said it currently expects the November STRC dividends to be treated as a non-taxable return of capital to the extent of a holder's tax basis.

Why Strategy wants daily dividends

The company's stated reason is price stability. When dividends accrue for weeks before a single record date, the share price tends to drop on the ex-dividend date. Strategy's presentation, as reported by Unchained, said STRC's median ex-date price drop fell to 0.36% after the switch from monthly to semi-monthly payments in June, from 0.49% before. That June change was approved with 99.9% of votes cast in favour.

Saylor wrote on X that the changes "aim to support price stability, liquidity, and demand." The 8-K adds that management will recommend keeping the 12.00% rate until STRC shows "sustained, healthy trading near $100 per share."

Oct 12-18 figures: bitcoin buys and STRC buybacks

Strategy's weekly 8-K, filed October 19, shows how the company is using cash and equity sales while the vote is pending.

Data as of October 18, 2026. Source: Strategy Form 8-K filed with the SEC on October 19, 2026.

The bitcoin purchase was funded by selling 140,872 MSTR common shares through the at-the-market program for net proceeds of $22.0 million, plus about $0.1 million in cash. No preferred shares were sold that week. The STRC repurchase was paid from USD Cash, which fell from $640.5 million a week earlier, according to Decrypt and Unchained. Strategy also paid $45.5 million of preferred dividends from its USD Reserve. Dividing the reported totals gives an implied average repurchase price of about $99.60 per STRC share; the filing does not state an average price.

How the vote fits with the $3 billion buyback cap

Both measures target the same thing: keeping STRC trading close to its $100 stated amount. Daily dividends are meant to smooth the predictable dips around record dates. Buybacks give Strategy a way to absorb selling when the shares trade below par, as they did in earlier weeks when, according to Unchained, the company repurchased STRC at around $97 per share. Before the latest increase, the board had already doubled the authorization from $1 billion to $2 billion.

The trade-off is cash. With $193.1 million spent on STRC in a single week and USD Cash down to $447.3 million, the pace of buybacks depends on how much cash Strategy chooses to hold back from bitcoin purchases and dividend reserves. The company describes USD Cash as available for general purposes, including buying bitcoin.

What it means

For STRC holders, approval would change when income arrives, not how much. Someone holding the shares through all of November would receive $1.00 per share either way, but buyers and sellers mid-month would get dividends matched to the exact days they held the stock. For common stockholders, the vote is a governance step with a high bar, since unreturned ballots count as "no".

For the wider market, the proposal shows how bitcoin treasury companies are reshaping their funding tools. Strategy is the largest corporate holder of bitcoin, and changes to the preferred stock that finances part of its buying are closely watched by investors in bitcoin ETFs and other listed bitcoin vehicles. Readers following daily price action can check the latest crypto daily brief; for long-range institutional views, see our explainer on JPMorgan's 10% bitcoin return assumption.

What is not yet known: the vote result, which Strategy expects to announce on October 28, and whether the amended certificate will be effective in time for November 1.

Sources

• Strategy Inc., Form 8-K filed October 19, 2026 (SEC)
• Strategy Inc., Form 8-K on November daily STRC dividends, October 2026 (SEC)
• Strategy Inc., Form DEFA14A additional proxy materials, October 13, 2026 (SEC)
• Unchained: Strategy seeks shareholder vote to pay daily dividends on STRC and three other preferreds
• Unchained: Strategy raises its preferred buyback cap to $3 billion
• Decrypt: Strategy buys $22M in bitcoin, buys back $193M of STRC

This article is for information only and is not investment advice.