Bitcoin price is down over 40% since STRC launched: Is Strategy 'fine'?
Bitcoin has fallen about 50% since Strategy launched Stretch (STRC) in late July 2025, and STRC itself has slipped well below its $100 par value, hitting a record low of $82.53 before closing at $88.59. STRC was built to trade near par through adjustable dividends and fund Bitcoin purchases, but the discount has raised its effective yield to roughly 13% and forced a pause in at-the-market share issuance, threatening Strategy’s Bitcoin-buying flywheel. Critics like Peter Schiff call STRC a “centralized Ponzi,” arguing it relies on fresh capital or Bitcoin sales to meet obligations. Strategy has not directly responded, but it moved dividends to a semi-monthly schedule. The weaker STRC market has slowed Bitcoin accumulation sharply: June purchases were about $100 million a week, far below April and May’s multibillion-dollar buys, and the company even sold 32 BTC to cover dividends. Some analysts view the selloff as leverage unwinding rather than a fundamental problem.
