MSTR wants to be the “central bank” of Bitcoin

MicroStrategy's "Bitcoin Central Bank" model MSTR uses preferred stocks (STRK, STRF, STRD, STRC) to build a deep yield curve to fund Bitcoin acquisitions, and the overall cost of funds is expected to continue to decline. With the world's largest enterprise-level Bitcoin reserves (640,031 Bitcoins), MSTR is regarded as the "central bank" in the Bitcoin field, and STRC serves as its "base currency" tool. MSTR's capital structure "converts" legal currency into Bitcoin. Different capital instruments correspond to different risk and return characteristics. For example, STRK has built-in appreciation potential, and STRF attracts conservative capital. Core Instrument: Variable Rate Preferred Stock STRC STRC sets a target face value of $100, and its monthly dividend rate can be adjusted by the board of directors to anchor the trading price and maintain parity. Management recently raised the annualized interest rate in October by 25 basis points to 10.25% and paid dividends in order to maintain the stability of the face value. The market has begun to understand and push the STRC price closer to the target price. The STRC mechanism is similar to the central bank's policy tools: raising interest rates to attract demand to expand the supply of "money" (used to purchase Bitcoin), lowering interest rates to avoid excessive costs, and monthly dividends to ensure rapid policy transmission.