Woofun AI reports that Ripple CEO Brad Garlinghouse remains bullish on Bitcoin but criticized Strategy's reliance on preferred stock financing to accumulate the asset. Garlinghouse stated that "financial engineering will not drive long-term value" and argued that Michael Saylor's team has focused on the wrong priorities, damaging the broader market.

Strategy's STRC preferred stock, designed to trade near $100 with an 11.5% dividend, recently traded approximately 25% below par, hitting an all-time low.

Concurrently, Strategy's common stock fell to its lowest level since February 2024, closing near $82, while Bitcoin dropped below $59,000. Analysts noted that the dividend coverage period for STRC has shortened significantly, raising concerns about the sustainability of the financing mechanism.