Strategy Doubles STRE Funding to €620M, Expands Bitcoin Purchase Capacity

New Euro-Denominated Preferred Shares Aim to Fuel More Bitcoin Purchases as Analysts Question Saylor’s Yield Promises

TL;DR:

• Strategy upsizes STRE issuance to €620M ($715M), doubling its initial €350M target amid surging demand for high-yield BTC-linked securities.
• Each €100 STRE share pays 10% annually, with potential deferral yield rising to 18%.
• Firm’s BTC holdings reach 641,205 BTC (~$47.49B cost basis, $74K avg).

UPDATED: In a Nov. 7 release, Strategy officially doubled its STRE preferred-stock offering, securing €620 million (about $715 million) in gross proceeds. The 10% Series A Perpetual Stream Preferred (STRE) shares were priced at €80 each with a €100 stated value, yielding quarterly dividends starting Dec. 31, 2025, and potentially climbing to 18% if payments are deferred.

This structure incentivizes long-term investors while giving Strategy greater flexibility to maintain its bitcoin acquisition pipeline during tighter liquidity cycles. The company emphasized that funds will be used for “general corporate purposes, including bitcoin purchases and working capital.”

Strategy Inc. has taken its capital-raising model global with the launch of a Euro-denominated preferred stock offering designed to finance further Bitcoin accumulation. Filed on November 3, 2025, the company plans to issue 3.5 million STRE shares at €100 each, representing a potential €350 million raise. Each STRE carries a 10 percent annual cumulative dividend payable quarterly beginning December 31, 2025. The offering is directed exclusively at qualified institutional investors across the European Union and United Kingdom, marking the first major expansion of Michael Saylor’s Bitcoin-focused treasury strategy beyond U.S. capital markets.

Proceeds from the STRE issuance are earmarked for Bitcoin purchases and general corporate purposes, mirroring the firm’s existing approach of leveraging capital markets to increase BTC exposure. Investment banks Barclays, Morgan Stanley, Moelis & Co., and TD Securities were named as book-running managers, underscoring the institutional scale of the offering. Saylor framed the launch as the next step in a global Bitcoin monetization plan, but analysts say the terms show a more conservative turn than his earlier high-yield pitch to investors.

Company filings show that Strategy now holds 641,205 Bitcoin acquired for about $47.49 billion, translating to an average cost of roughly $74,057 per coin. Between October 27 and November 2, the firm added another 397 BTC at an average price of $114,771 including fees and expenses. In its latest quarterly report on October 30, Strategy recorded revenue of $128.69 million against a Wall Street consensus of $118.43 million and posted GAAP earnings of $8.42 per share, missing the expected $10.57. The company touted a 26 percent year-to-date yield on its Bitcoin treasury and $12.9 billion in unrealized gains, maintaining a full-year target of 30 percent BTC returns and $20 billion in paper profits for 2025.

Recent capital issuances included 76,017 shares of 10 percent Series A Perpetual Preferred (STRF), 49,374 shares of 8 percent Series A Preferred (STRK), and 29,065 shares of 10 percent Series A Preferred (STRD), along with 183,501 new Class A common shares under its at-the-market program. Altogether the company raised approximately $69.5 million, a relatively small sum next to its ongoing Bitcoin purchases but a signal of continued demand for its yield-oriented structures. Analysts note that each round adds incremental equity dilution but keeps Strategy flush with capital as it positions for future BTC appreciation.

Market reaction to the STRE announcement was mixed. Shares of Strategy (MSTR) slipped below $250 as traders digested the details and weighed the 10 percent fixed dividend against earlier expectations of a 16.5 percent yield tied to Strategy’s previous STRC product. Saylor had described that security as “a high-yield bank account for accredited investors,” promising tax-advantaged monthly dividends based on return of capital. Critics such as Protos argue the STRE instrument “is nothing like what Saylor promised,” noting its lower yield, lack of stable value mechanism, and subordination to other preferred classes in the capital structure. They estimate the raise at “less than €350 million” and suggest it falls short of Saylor’s vision of a globally accessible Bitcoin-backed savings vehicle.

Analysts see the Euro issuance as a logical expansion but a more tempered one. The model remains unchanged — raise funds, buy Bitcoin, and monetize via yield products and capital appreciation — yet the growing complexity of preferred share structures introduces questions about long-term sustainability and regulatory interpretation across jurisdictions. With over 641,000 BTC on its balance sheet and a cost basis near current market levels, Strategy is betting that global demand for Bitcoin-linked income instruments will outpace the risks of price volatility and capital dilution. The STRE offering cements Saylor’s push to extend his Bitcoin-as-corporate-reserve model into Europe’s institutional markets — even as investors weigh whether the returns match the hype.

The upsized offering underscores strong investor demand for high-yield bitcoin-linked instruments, following previous perpetual series like STRC, STRF, STRK, and STRD, which collectively built out Strategy’s capital stack without diluting common shareholders. Despite a Q3 slowdown — adding only 1,417 BTC versus over 9,000 BTC in Q2 — analysts expect accumulation to reaccelerate in 2026 once funding conditions stabilize, keeping Strategy on track for its 30% bitcoin-yield target.

This article has been refined and enhanced by ChatGPT.