Where is my 10% dividend?
imagine trusting that piece of shit saylor
Are you retarded?
Guh
this stock gets to crash before MSTR. kind of genius desu
>>61323939give a degen $100 and he promises to give you $10 a year foreverwhat could go wrong
>>61323939anon this is literally an algostablecan't believe that coked boomer released an algostable on fucking nasdaq lmaoimagine buying this. did luna taught you nothing?
so it's begin
>>61323939>>61324026Wait wait waitI did not know thisDid this retard just literally launch Luna 2.0? With guaranteed 10% apy? Paid by..... "Bitcoin yields"? No way Holy shit hahahaha that means he has to already force sell Bitcoin to keep this shit stable likely. The biggest difference to Luna was that they promised 20%GET THE FUCK OUT OF THIS PONZI
mein gott it even has a forced redemption clause at 101 so they capture all potential upsideSaylor is fleecing boomers with ponzi tricks invented ~10 years ago
>>61323939I wouldnt worry about it
>>61324123to explain it1. strc is trading at 120 because retardation2. saylor issues 1000 new strc and dumps the price3. saylor forcibly redeems 1000 new strc from the market at 101Profit = 120-101 = 19 per strcthey designed it so that they can capture any upside above 101
>>61324117Strategy holds 57 billion worth of bitcoin and the total market cap of all issued strc is 2.7 billion. He'll be fine
>>61323939if you want high yield dividends with half the risk of this dogshit I'd advise you to look at some covered call ETFs like JEPI or SPYI
>>61324172>he will be fineEmphasis at >he
>>61324184Let me rephrase, Strategy and their holdings will be fine. They can reimburse all STRC holders for 5% of their BTC
>>61324197uhhh maybe that can dump the btc price and therefore their own stock price and therefore may pump it from 5% -> 10% for instance?
>>61324172If they sell 4 billion they dump Bitcoin. By 10k starting a chain reaction. Because once he has to report his sell the stock will collapse
>>61324301The market absorbs that amount very easily. Germany sold what, 50 bil? Without any major issues. Also, MSTR price can go to zero and it still won't force them to do anything, their stuff isn't collateralized with their own stock
>>61324197In a liquidation:>first: All debt (bonds, loans, convertible notes, etc.).>second: A more senior preferred series called STRF and any other future “liquidation senior” preferred.>only then : STRC and any future “liquidation parity” prefs share what’s left pro rata.They are explicitly allowed to issue more debt or senior prefs in the future. There’s no hard cap protecting STRC owners.If the pile of debt + senior prefs eats all the assets, STRC gets zero.They don't actually have to pay dividends, it only accrues.If they don’t pay a declared dividend in full, the unpaid portion accrues “compounded dividends” at the same monthly rate.The commitment to keeping STRC at $100 is non-binding. They can just stop.They can slowly lower the interest rate to "Secured Overnight Financing Rate" which is currently at 4%, by 0.25pp per year if SOFR stays constant. If SOFR drops, they can drop the interest by 0.25pp + SOFR, down to SOFR.The SOFR created a lower cap, but SOFR going up doesn't mean they have to raise the rate.Example: the current dividend rate is 5%. SOFR is at 4%. Next month, SOFR goes to 1%.They can now drop the dividend rate to 1.75%.SOFR goes back to 4%. They do nothing.In theory, if SOFR ever goes to 0 for a while, they can lower the dividend rate to 0%, legally, and never pay anything ever again.Realize what that means with the combo of not having to actually pay it.It means once they stop scamming people into buying this crap, they will lower the dividend rate into the lowest SFOR over the years, even if it's 0.01%. Yes, it actually went to 0.01% during covid. They will continue to "accumulate" dividends, compounding at a rate of 0.01%. Of course, they don't have to defend the $100 peg either. STRC basically legally goes to zero.It's 100% a scam, as only people who didn't understand what I just wrote would ever consider buying it.
>>61324172>price goes down >57 billion becomes 40 billion>MSTR tanks>forced to dilute shares and sell Bitcoin further to fund dividends>people start selling driving price down further, sparking more bitcoin sales and more dilutionPonzi machine broken what do
>>61324446>by 0.25pp per year if SOFR stays constant.Clarification: by the rate of 0.25pp interest per year, but they can drop it once per month.
>>61324446Where does SOFR even come into this, are they required to keep the dividend above it in the docs or what.
>>61324474yes they aren't allowed to lower the dividend rate below SOFR>our right toadjust the regular dividend rate is subject to certain restrictions. For example, we are not permitted to reduce themonthly regular dividend rate per annum that applies to any regular dividend period (i) by more than thefollowing amount from the monthly regular dividend rate per annum applicable to the prior regular dividendperiod: the sum of (1) 25 basis points; and (2) the excess, if any, of (x) the “monthly SOFR per annum” (asdefined in this STRC Stock Annex) on the first business day of such prior regular dividend period, over (y) theminimum of the monthly SOFR per annum rates that occur on the business days during the period from, andincluding, the first business day of such prior regular dividend period to, and including, the last business day ofsuch prior regular dividend period; or (ii) to a rate per annum that is less than the monthly SOFR per annum ineffect on the business day before we provide notice of the next monthly regular dividend rate per annum.this scam makes past crypto algostables look like paragons of honesty. Unbelievable SEC allowed this
>>61323939>Hehe I will pretend to be retarded this will be a hilarious 1pbtid time wasting thread >:)No bump
the tl;dr is this is structured explicitly as a ponzi>retards buy>Saylor pays dividends to past owners with funds taken from new buyers>he buys bitcoin with the resteventually>retards stop buying>Saylor decides growth phase is over, time for the exit phase>he starts cranking down the dividend rate to Secured Overnight Financing Rate, which even if stays constant, allows a relatively fast drop ot 0.25*12 = 3pp per year>all dividends (including past ones) keep compounding at lowest SOFR possible over the years>he never pays anything, incurring new dividend obligations at a rate below inflationwhat happens during liquidation? Bad news, in practice you also get zero rights! There are no limits on issuing senior shares and senior debt to you. They can structure everything so that STRC gets exactly nothing, regardless of the price of btc.Literally the only possible motivation for Saylor to pay out is reputation risk. Is his reputation worth $2B to him? Hmm.Will this go back to 100? I don't know. It clearly didn't collapse yet. If they expect people to keep buying, they may keep pumping it and juicing the interest rate. Just know it's a ponzi and you have effectively zero rights.
>>61324451literally LUNA at this point>but its only 3bil debtyeah and what was it last year, saylor cant stop
>>61324414Lol your memory is very bad Germany sold 5 billion and it did cause a dump
>>61324414Nvm it was less than 3 billion
>>61324301>>61324172>>61324117>>61324026
>>61324573btw if you think I'm exaggerating>We expect to fund any dividends paid in cash on the STRC Stock primarily through additional capital raising activities, including, but not limited to, at-the-market offerings of our class A common stock and other dividend junior stock.they literally tell you they pay dividends with funds from new investors
>>61324503Got it, and if I’m understanding your first message right there’s no requirement to raise the rate to match SOFR, only barriers to dropping it below, so they have a “low water mark” effect right?
>>61323939The only thing pegged here is me as trade to have a threesome with my gf and her friend
I asked Grok to debunk but it rebunked https://x.com/i/grok/share/o0m08oplr19J5LBWtmyGNuFYC
>>61324446How is that not illegal kek
If STRC is a $100 stablestock why does the chart look like this
>>61325126Michael Strategy here. it only goes up Laura
>>61325126>>61324935crypto is going to pay for this with more regulation
>>61325126don't worry abouit it
>>61325281lol good one
>>61324935entire trump's presidency is a crime is legal season.>>61324922Grok is a bit too dumb for advanced financial judaism like strc.Especially>The company can optionally redeem all (or chunks over $250M stated amount) at $101/share + accrued dividends anytime after listing, with 3-60 days' notice—holders must tender>The thread's "(120-101=19 per share profit)" flips it— that's a loss for holders, gain for Strategy in reduced liability cost.there's no flip, they can sell at 120 themselves, potentially borrowing strc. Then they can force redeem at 101. It's total capture of the upside.One problem with the models is that excessive safety training prevent them from even considering truly malicious moves, because describing how someone could scam you is effectively the same as instructing how to scam, as the model has no capacity to know who's asking, so companies trained the models away from doing it at all. The net effect is that they are built to assume honesty and kindness. What works is figuring out how someone can scam you, and then asking the model for confirmation, as that bypasses safety limitations (not for Claude, fuck Anthropic).the tl;dr is that legally, what they can do is(1) drive the interest rate to below the market rate (at which point it's free money for them)(2) stop paying anything forever (they may pay past accrued dividends at that point once)(3) if btc pumps a lot, they can inject new senior debt/shares and force an artificial liquidation to ensure nothing goes to strc holders
