Cantor: Restoring STRC to Face Value is the Key Strategy, Will Reactivate Bitcoin Purchase Engine

BlockBeats News, July 6th, Cantor, a Wall Street investment bank, stated after a meeting with MicroStrategy's CEO Michael Saylor that pushing for the preferred stock STRC to return to a $100 face value is the company's current top priority. This move is crucial for restarting the Bitcoin acquisition engine and improving the capital structure.

Cantor believes that Strategy will continue to increase the STRC dividend cash reserve to drive its price back to par value, and may also undertake measures such as stock buybacks if necessary. With the restoration of STRC, the common stock (MSTR) is expected to benefit, paving the way for future stock offerings to fundraise and further Bitcoin acquisitions.

Previously, Strategy had announced the sale of approximately $216 million worth of Bitcoin to pay for the STRC dividend. Meanwhile, JPMorgan had warned last week that selling Bitcoin to pay for preferred stock dividends could increase the company's risk exposure and market volatility.