Strategy plans to issue more perpetual preferred stock to reduce stock price volatility risk.

Strategy plans to issue more perpetual preferred stock called Stretch, designed to mitigate stock price volatility risk for investors through a fixed-asset product. The preferred stock currently offers a variable dividend rate of 11.25% and resets monthly to maintain a par value of $100. Strategy currently holds over 714,000 bitcoins, with a total value of approximately $48 billion. Strategy reported a net loss of $12.4 billion in the fourth quarter due to the decline in bitcoin prices. CEO Phong Le stated that this move is a protective mechanism designed for investors who want access to digital capital but averse to volatility. Executive Chairman Michael Saylor stated that concerns about the company being forced to sell its holdings due to the decline in bitcoin prices are unfounded, and the company plans to continue buying bitcoin every quarter.