Strategy CEO Michael Saylor announced on June 29 the launch of the "Digital Credit Capital Framework (DCCF)," rather than the previously anticipated new Bitcoin purchase announcement — Saylor had hinted at a Bitcoin-related announcement. The core measures of the DCCF include: increasing the dollar reserve to $2.55 billion, establishing a Bitcoin monetization program, and an MSTR digital credit securities buyback program.
Four Specific Measures of the DCCF Framework
Saylor explained in an X post that the DCCF aims to strengthen Strategy's digital credit, improve liquidity, and maintain long-term Bitcoin exposure. The four measures are as follows:
Dollar Reserve: Increased to $2.55 billion, sufficient to cover 17.4 months of dividends and interest; this reserve is used solely for dividend and interest payments and will be maintained for at least 12 months.
Bitcoin Monetization Program: Allows the sale of Bitcoin to raise dollar reserves (up to $1.25 billion), used to pay dividends, interest, and repurchase digital credit securities and MSTR; if sales are executed, the dividend coverage ratio would increase to $3.8 billion (25.9 months).
MSTR Buyback Program: Establishes a digital credit securities buyback program of up to $1 billion; Saylor stated that buyback funds will not come from the dollar reserve.
STRC Dividend Rate Adjustment: Raised by 50 basis points to 12%, effective from the July 2026 record date; Saylor said the company will continue to evaluate the STRC dividend rate monthly.
STRC Target Price vs. Current Situation
Saylor said that Strategy's price target for STRC remains at $99-$100. As of now, the STRC price has fallen to 25% of its face value over the past few weeks. Strategy sold a small amount of Bitcoin in late May, although it has since added to its holdings, market observers noted that this move has shaken the industry. The DCCF announcement focuses on dollar reserves and liquidity mechanisms, not new Bitcoin purchases.
Criticism Background: CryptoQuant Suggestion and Market Skepticism
Critics have publicly warned that if Strategy needs to meet specific expenses or dividend pressures in the future, it may need to sell over 50,000 Bitcoins. CryptoQuant analysts have publicly suggested that Strategy stop buying Bitcoin and instead rebuild its dollar reserves. Strategy's two most recent announcements — including this DCCF — have both shifted focus toward dollar reserves rather than Bitcoin holdings, partly responding to this direction, but the company has not fully adopted the suggestion to stop buying Bitcoin.
Frequently Asked Questions
How is Strategy's DCCF framework different from its previous Bitcoin accumulation strategy?
Previously, Strategy's announcements typically focused on new Bitcoin purchase plans. The DCCF shifts focus to liquidity management: increasing dollar reserves to $2.55 billion, establishing a monetization program allowing Bitcoin sales (up to $1.25 billion), and setting up a $1 billion MSTR buyback program. The company still holds its Bitcoin reserves but has established a mechanism for selling under specific conditions.
When does the STRC dividend rate adjustment to 12% take effect?
According to Saylor, the STRC dividend rate increase of 50 basis points to 12% takes effect from the July 2026 record date. Saylor said the company will continue to evaluate the STRC dividend rate monthly. The target price for STRC is $99-$100, while the STRC price has currently fallen to 25% of face value.
What are the cap and trigger mechanism for the Bitcoin monetization program?
Strategy's Bitcoin monetization program allows selling Bitcoin to raise dollar reserves, pay dividends and interest, or repurchase digital credit securities and MSTR, with a cap of $1.25 billion. If sales are executed, the dividend coverage ratio would increase from $2.55 billion to $3.8 billion (equivalent to 25.9 months of dividend payments).
