Investors Earn 8-12% Yield Backed by Bitcoin: Michael Saylor Explains Strategy’s STRK STRD STRF STRC

Bitcoin-backed credit instruments function as a flexible, perpetual financial framework designed to optimize capital allocation and leverage for Bitcoin acquisition. By issuing preferred stocks with varying risk profiles—ranging from senior, long-duration credit to variable-rate "treasury preferreds"—the company constructs a proprietary yield curve. This model creates a self-reinforcing flywheel: capital raised through these instruments and equity sales funds further Bitcoin purchases, which in turn over-collateralizes the credit and enhances value for all stakeholders. Dividends are sustained through ongoing equity issuance and derivative strategies, such as basis trades and option writing, rather than liquidating core Bitcoin holdings. Ultimately, this approach seeks to establish an investment-grade standard for Bitcoin-centric corporate treasuries, providing investors with yield-bearing alternatives while scaling the company’s Bitcoin-denominated balance sheet.