TLDR
- Peter Schiff said Saylor’s media absence may be tied to lawsuit risk.
- Rosen Law Firm is investigating Strategy securities claims.
- STRC fell near $73.62, about 25% below its $100 par value.
- STRC’s effective yield rose to about 15.6% at its record low.
- Arkham said STRC is not like LUNA because there is no forced liquidation.
Peter Schiff has said Michael Saylor’s recent absence from media appearances may not be coincidental, as legal pressure and investor concern grow around Strategy’s preferred stock STRC and the company’s Bitcoin-focused capital structure.
Schiff wrote on X that he believes Saylor’s lawyers may have advised him to avoid public comments that could be used in shareholder lawsuits. He also said CNBC may be limiting coverage of the issue because of its previous airtime for Saylor, although neither Saylor nor CNBC has publicly confirmed those claims.
I think @Saylor’s recent absence from the media is not a coincidence. My guess is that his lawyers advised him not to make any more public statements that could be used against him in shareholder lawsuits. I think @CNBC may be avoiding covering the story for the same reason.
— Peter Schiff (@PeterSchiff) June 25, 2026
The comments came after Rosen Law Firm announced an investigation into possible securities claims involving Strategy and its publicly traded securities, including MSTR, STRF, STRC, STRK and STRD. Strategy has not publicly commented on the investigation.
STRC Decline Fuels Investor Debate
STRC recently fell to an all-time low near $73.62, leaving the preferred stock roughly 25% below its $100 par value. The move raised its effective yield to about 15.6%, based on its stated dividend and depressed market price.
STRC is a perpetual preferred stock with an 11.5% annual dividend rate based on a $100 stated amount. Arkham noted that Strategy has about 104.89 million STRC shares outstanding, creating an annual dividend cost of roughly $1.2 billion.
Strategy had about $1.4 billion in U.S. dollar reserves as of earlier this week. That reserve gives the company a limited cash runway for dividend payments, although STRC dividends are not the same as debt maturities and the company is not legally forced into liquidation if STRC trades below par.
Schiff argued that STRC’s decline shows investors are questioning the durability of the dividend and Strategy’s ability to keep raising capital. He also claimed that retirees and risk-averse buyers may have been exposed to losses after STRC was promoted as a low-volatility income product.
Arkham Says STRC Is Not Another LUNA
Arkham compared STRC’s decline with past crypto market failures but said it is not equivalent to Terra LUNA. The analytics firm said STRC’s falling price reflects market doubts about future dividends, capital raising and investor demand rather than a forced liquidation mechanism.
Unlike LUNA, STRC does not create an automatic death spiral through algorithmic redemption. Strategy is not required to spend cash to defend STRC’s market price, and Saylor cannot be liquidated simply because the preferred stock trades below par.
STRC is a perpetual preferred stock which pays dividends of 11.5%, at par value of $100 per share.
There are 104.89M shares of STRC which, at an 11.5% dividend rate, costs Strategy $1.2 Billion per year to maintain.
Strategy had $1.4B in USD reserves as of Monday this week. pic.twitter.com/whphc2fFMh
— Arkham (@arkham) June 25, 2026
Arkham said the main risk is longer term. If Strategy must keep paying about $1.2 billion per year in dividends while its capital-raising ability weakens, future investors may become less willing to buy MSTR or related securities.
Samson Mow offered a different view, saying investors who buy STRC at distressed levels could benefit if the preferred stock returns to par. He said a move back to $100, combined with the effective yield, could create a large total return for holders.
MSTR Weakness Adds Pressure to Bitcoin Treasury Model
Strategy’s common stock has also declined sharply as Bitcoin fell near $58,000. Schiff said MSTR dropped below $85.50 and argued that the stock may trade at a large discount to its Bitcoin-per-share value.
He said one way to create shareholder value would be for Strategy to sell Bitcoin and repurchase shares if the market price moves far below the value of its holdings. That view contrasts with Strategy’s long-running approach of accumulating Bitcoin through equity, debt and preferred stock issuance.
The debate now centers on whether Strategy can continue funding dividends and Bitcoin purchases while investor confidence weakens. STRC’s discount to par makes new preferred issuance less attractive, while MSTR’s decline reduces the efficiency of common stock sales.
Schiff also said CNBC gave Saylor extensive airtime during Bitcoin’s rise while offering less coverage during the recent decline. Those comments remain Schiff’s own claims and have not been confirmed by CNBC or Strategy.
