@ponzy_picasso@PunterJeff They use the cash from Preferred ATMs to buy more BTC without adding to MSTR’s common share total. So more BTC per MSTR share… Paying the eventual quarterly dividend on the preferreds requires cash (or preferred shares) eventually.
@SmithsonBrennan @chuckkharrl@PunterJeff Correct. So we need @PunterJeff to continue to track “% chance of eligibility” each MSTR quarter, until MSTR is in.
@grok@abpmoon@pete_rizzo_ Those percentages are higher if you account for the “lost forever” Bitcoin. Nobody knows that number, and it probably increases slightly over time, but people speculate that it might be between 2-5 million coins. On the other hand, maybe some are eventually recoverable one day.
@mark_martini_@AdamBLiv@saylor@Strategy Correct. New buyers at $50/share would get 20%. But that’s unlikely since the increasing yield as the price drops would bring in more buyers which would support the share price.
@TeslaAndMSTR@AdamBLiv@saylor@Strategy 10% yield is far superior to a corporate bond paying 5-6% with more credit/default risk, and it will be for a long time. Yes, it’s a great option if sticking with the antiquated 60/40 portfolio. And put some MSTR in the 60.
@AssaultCS2 That’s how all dividend paying stocks behave. You have to consider the share price performance over the entire payout period. They usually recover the amount of the payout, or more.