Woofun AI reports that Strategy filed an SEC 8-K to launch the 'Digital Credit Capital Framework,' which encompasses five core components: USD Reserve Policy, STRC Dividend Policy Adjustment, Preferred Stock Repurchase Plan, Common Stock Repurchase Plan, and BTC Liquidation Plan.

The USD Reserve Policy restricts funds to preferred stock dividends and debt interest, requiring a balance covering expected payments for the next 12 months; the reserve stood at $2.55 billion as of June 28th. The annualized STRC dividend rate increases to 12.00% effective July 1st, with monthly adjustments based on market metrics. Two $1 billion repurchase authorizations were established for preferred stocks and Class A common stock, excluding USD reserve funds.

Additionally, the board authorized a BTC Liquidation Plan permitting the sale of up to $1.25 billion worth of Bitcoin to supplement reserves or fund repurchases.