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ToggleStrategy Inc. (formerly MicroStrategy Incorporated), a well-known Bitcoin reserve provider, has filed a new document with the U.S. Securities and Exchange Commission (SEC), announcing a massive capital raising plan that is shaking up the market. The company plans to issue up to $21 billion in Class A common stock and up to $21 billion in variable-rate Series A perpetual extended preferred stock (STRC preferred stock) through an at-the-market (ATM) offering.
This fundraising initiative, amounting to hundreds of billions of dollars, not only brought in new sales agencies but also marked another major strategic move by Strategy to aggressively expand in the capital markets.
Expanding its underwriting lineup, three well-known institutions join.
To ensure the smooth progress of this massive offering, Strategy has further expanded its lineup of sales agents (underwriters). Under the newly signed agreement, the company has officially added Moelis & Company LLC, AGP/Alliance Global Partners, and StoneX Financial Inc. to its list of underwriters for the Omnibus Sales Agreement.
These newly added agents will work alongside more than a dozen large financial institutions, including TD Securities, Morgan Stanley, and Barclays Capital Inc., to assist Strategy in conducting flexible stock sales in the public market.
Dual-engine drive: $21 billion in common stock and STRC preferred stock
At the heart of this offering plan are two new appendices. First, Strategy plans to issue up to $21 billion in Class A common stock through a new offering scheme. Second, the company is also simultaneously launching a $21 billion STRC preferred stock offering scheme.
To accommodate this massive issuance, Strategy officially submitted certificates on the same day, significantly increasing the authorized number of STRC preferred shares from the original 70,435,353 shares to 282,556,565 shares.
Adjusting pace: Terminating old plans and streamlining STRK preferred stock.
In addition to the large-scale issuance of common stock and STRC preferred stock, Strategy has also made strategic adjustments to its 8.00% Series A perpetually exercised preferred stock (STRK preferred stock). The company and its sales agents have agreed to formally terminate the previous issuance plan for STRK preferred stock, effective March 22, 2026. Instead, the company expects to issue a new version of STRK preferred stock, raising up to $2.1 billion, through a new agreement. Simultaneously, Strategy has submitted documentation to the authorities reducing the authorized number of STRK preferred shares from 269,800,000 to 40,270,744, demonstrating its sophisticated management of different capital instruments.
Use of funds: The only answer is "Bitcoin".
Although the filing conventionally lists "general corporate purposes and debt repayment," all market observers know that the primary destination of this $42 billion is only one: to purchase more Bitcoin. Roughly estimating at the current market price of $71,000, this amount would be enough for Strategy to purchase approximately 590,000 more Bitcoins, bringing its total holdings to a staggering 1.35 million.
This "fiat currency conversion experiment" led by Strategy is reaching its climax. With the completion of this financial reserve, Strategy's pricing power in the Bitcoin market will be further enhanced, while also challenging the boundaries of traditional finance's imagination of the capital structure of a "listed company".
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