Strategy (MSTR) investor relations material

Digital asset strategy and market positioning

• Emphasizes the need to attract capital from traditional finance by offering digital credit and money instruments, aiming to grow the Bitcoin ecosystem by competing with established asset classes like gold, real estate, and equities.

• Digital credit (STRC) and digital money are positioned as innovations to bridge yield and stability, with the goal of creating a robust digital credit market that can support further Bitcoin adoption.

• Focus remains on building a sustainable credit business, as success here is seen as the key to long-term equity value and company growth.

Equity and capital allocation priorities

• Increasing Bitcoin per share is the primary objective for equity holders, achieved through leverage, convertible bonds, and digital credit amplification.

• Dividend payouts to common shareholders are not planned; capital is prioritized for strengthening the credit business and acquiring more Bitcoin.

• Equity buybacks are considered only if shares trade at a significant discount to NAV, but current focus is on credit stabilization.

Credit market operations and product management

• STRC is managed to maintain a tight trading range around par, maximizing liquidity and minimizing volatility for investors.

• The company is committed to using its resources to stabilize credit instruments, prioritizing the interests of credit investors over short sellers.

• Lessons from recent STRC drawdown include the importance of maintaining substantial USD liquidity and dynamic reserve management.