Every public company faces the same problem with its cash position: it's losing value.
Yields on bank accounts and traditional credit instruments often fail to keep pace with monetary debasement. That leaves corporate treasurers in a structural bind: accept a real loss to stay liquid, or buy illiquid, riskier assets.
But that all changed when Strategy pioneered a new category of treasury asset — a publicly listed credit instrument anchored by Bitcoin, with daily liquidity, monthly dividends, and a yield materially higher than traditional alternatives.
When we saw it, we acted.
In late February, OranjeBTC became the first public company in the world to allocate part of its cash reserves to Stretch ($STRC) — Strategy's Variable Rate Perpetual Preferred Equity.
Why a Bitcoin Treasury Company Holds Cash
Some investors have asked us: Have we changed our treasury strategy? Not at all.
OranjeBTC currently holds 3,723 BTC, and Bitcoin remains our primary treasury reserve asset.
But as an operating company, we have fiat-denominated obligations — vendors, taxes, and other expenses — denominated in both BRL and USD. To fund those reliably and reduce tax, FX, and settlement frictions, we maintain liquidity buffers in both currencies.
The question isn't whether to hold cash. It's how to make that cash productive while it sits on our balance sheet.
Before this allocation, it was earning a low single-digit yield while its purchasing power eroded. Now, a portion of the portfolio is earning a double-digit yield in a highly liquid instrument, generating meaningful additional cash flow for our treasury.
This wasn't a pivot from our Bitcoin strategy. It was a decision to optimize it by making the cash we already hold work in service of our long-term goal: accumulating more Bitcoin.
What Is STRC?
STRC is a variable rate perpetual preferred equity instrument issued by Strategy, the world's largest corporate holder of Bitcoin, with nearly 740,000 BTC on its balance sheet.
It is listed on NASDAQ, pays an 11.5% annualized dividend distributed monthly in cash, and was designed from the ground up to deliver what corporate treasurers need: income, price stability, and liquidity.
Stretch is engineered for price stability.
It's designed to trade near its $100 par value, supported by a range of mechanisms at Strategy's disposal, including dividend rate adjustments, share issuance, and a call provision.
The graphic below illustrates how Strategy can deploy these tools to support price stability.
But it's not just the yield that makes STRC attractive; it's the full profile.
When you compare STRC across every dimension that matters to a corporate treasurer — duration, asset coverage, and liquidity — it's in a class of its own.
The highest yield. ✅
Strong asset coverage. ✅
Low duration risk. ✅
Institutional-grade daily liquidity. ✅
Given this profile, we believe STRC is among the most compelling treasury assets available today.
Why We Trust This Yield
How is an 11.5% yield sustainable?
With traditional high-yield credit, the capital backing the yield hasn't been earned yet. It depends on future revenue, management execution, and macroeconomic conditions.
STRC is different. It's backed by capital that already exists on Strategy's balance sheet: 738,731 Bitcoin and $2.25 billion in USD cash reserves.
And Bitcoin is not like other forms of collateral. It can't be diluted, counterfeited, or debased. It has no counterparty risk, duration risk, or business risk. Its supply is fixed at 21 million. And it's verifiable on-chain in real time.
Simply put, Bitcoin is pristine collateral, and Strategy has more of it than any company in the world.
Today, Strategy’s BTC and USD reserves provide durable dividend coverage. At current prices, for every $1 in annual dividends, Strategy holds roughly $56 in BTC reserves and $2.4 in cash.
With over 55 years of BTC dividend coverage alone, we believe Strategy's capital structure is engineered to support these obligations across a wide range of market conditions.
And it's already been stress-tested. When Bitcoin recently fell roughly 50% from its all-time high, STRC continued to trade near its $100 par value, and Strategy paid its dividend without interruption.
Over time, as liquidity deepens and the investor base broadens, it is reasonable to expect STRC’s par-anchored design to express itself more consistently in the market.
The Cash Flow Math
When you run the numbers, our rationale for allocating to STRC becomes straightforward.
Consider a $1 million corporate treasury. In a standard U.S. bank account, it might generate roughly $4,000 per year. In T-bills, it may yield about $37,000.
Now consider the same $1 million in STRC, yielding 11.5%, where distributions are currently classified as return of capital and not subject to income tax:
At current rates, a 35% allocation to STRC doubles treasury cash flow versus holding only T-bills, and a full STRC allocation nearly quadruples it.
For a Bitcoin treasury company, that higher cash flow means more capital available to acquire BTC over time.
OranjeBTC is the largest Bitcoin treasury company in Latin America. We don't just hold Bitcoin — we structure our balance sheet, treasury, and operations around it.
Adding STRC to our balance sheet is a natural extension of that conviction.
We believe Bitcoin-backed digital credit instruments like STRC will be a defining building block for future corporate treasuries, and OranjeBTC is committed to being an early leader in that transition.
This post is for informational and educational purposes only and does not constitute investment, legal, accounting, or tax advice. OranjeBTC may hold positions in Bitcoin and/or STRC. Dividends are variable and not guaranteed. See full disclaimer at