Strategy stretch shares draw retail investors seeking Bitcoin yield

Strategy’s “Stretch” preferred shares are drawing strong interest from retail investors as the company keeps using the product to fund Bitcoin purchases. 

New comments from Strategy executives show that individual investors now make up most of the holders of STRC, a dividend-paying security that the company markets as a lower-volatility way to gain Bitcoin-linked exposure.

Strategy CEO Phong Le said about 80% of the owners of the company’s “Stretch” perpetual preferred shares are retail investors. He said retail buyers prefer “low-volatility, high-yield digital credit” as they look for steadier exposure tied to Bitcoin.

The figures show that demand for Bitcoin-linked products remains active even during a weaker period for the asset and for Strategy’s stock. Michael Saylor and other company executives have increased promotion of STRC as a product for investors who want Bitcoin exposure without taking on the same level of price swings seen in common shares or the token itself.

Strategy relied heavily on STRC sales in March to raise funds for more Bitcoin purchases. Bloomberg reported that about $1.2 billion from at-the-market sales of the preferred shares helped finance one of the company’s recent Bitcoin buys, though the firm later returned to common stock sales for its latest purchase.

Speaking at the 2026 Digital Asset Summit in New York, Saylor said selling a new credit instrument to retail investors is usually difficult. He later told CNBC that the goal is to create “an onramp for people who believe Bitcoin is going to be around for the long term, but they can’t handle the volatility in the near term.”

In addition, Saylor said Stretch removes the first 10% to 11% of Bitcoin’s yearly return and directs it to credit investors. He said the structure is “way overcollateralized” and argued that equity holders could still benefit if Bitcoin rises at a faster pace over time.

The security pays a variable dividend that adjusts monthly in an effort to keep the share price near $100. The dividend stood at 11.5% in March, while the product is structured as a perpetual preferred share with no maturity date.

Strategy expands its funding plans

Strategy has signaled that preferred stock will remain a core part of its Bitcoin funding model. In filings and company materials, the firm has described a broader capital strategy built around different securities that offer varying types of Bitcoin exposure to investors.

The company also disclosed plans to expand its fundraising capacity. According to the report cited in the source material, Strategy plans to raise up to $21 billion through stock sales and another $21 billion through Stretch-related at-the-market programs, showing that the company is preparing to keep using these instruments as it adds to its Bitcoin holdings.