Key Takeaways
- Gold advocate Peter Schiff branded Strategy’s STRC perpetual preferred shares as “the most obvious Ponzi that has ever existed”
- Schiff criticized the SEC for permitting Michael Saylor’s promotion of STRC
- The STRC instrument provides an 11.5% yearly dividend, distributed monthly, to finance Bitcoin acquisitions
- STRC shares hovered around their $100 par price; MSTR climbed 9.39% to $179.36 Wednesday
- Strategy maintains 815,061 Bitcoin valued at roughly $63.38 billion
Gold proponent Peter Schiff, known for his longstanding criticism of Bitcoin, intensified his ongoing dispute with Strategy executive chairman Michael Saylor on April 23, characterizing the firm’s STRC perpetual preferred shares as “the most obvious Ponzi that has ever existed.”
Schiff delivered these remarks through a post on X, contending that STRC purchasers are motivated by the 11.5% yearly dividend yield instead of seeking genuine Bitcoin market exposure.
Sometimes a Ponzi scheme is not obvious. The only sign may be that it seems too good to be true. But that is not the case with $STRC, which is the most obvious Ponzi that has ever existed. The fact that the SEC allows @Saylor to promote it is more proof that we don’t need an SEC.
— Peter Schiff (@PeterSchiff) April 22, 2026
Strategy issues STRC securities to generate capital, subsequently deploying those funds to acquire additional Bitcoin. The instrument distributes dividends on a monthly basis, though this was recently adjusted to semi-monthly distributions.
Schiff’s contention centers on the circular nature of this arrangement — the enterprise depends on fresh capital inflows to maintain its Bitcoin purchasing activity, which subsequently bolsters the share price and sustains dividend payments.
He further criticized the U.S. Securities and Exchange Commission, asserting that its inability to prevent Saylor from marketing STRC demonstrates “proof that we don’t need an SEC.”
Schiff organized two X Spaces sessions and extended invitations to skeptics, including internet fraud analyst Coffeezilla, challenging them to refute his position. He explicitly mentioned Saylor as a desired participant.
In the previous week, Schiff cautioned that Saylor might encounter legal challenges once STRC distributions cease and share values decline, characterizing the promotional efforts as “so misleading as to constitute fraud.”
Strategy Stands Behind Its Strategy
Schiff’s perspective isn’t universally shared. Strive CEO Matt Cole characterized STRC as “a clear multi-trillion dollar idea,” asserting it surpasses private credit offerings in virtually every metric.
Strategy recently proclaimed STRC “the world’s largest preferred stock.” The STRC program has independently amassed 17,204.73 Bitcoin thus far.
Strategy’s latest Bitcoin purchase occurred on April 20, when the company acquired 34,164 Bitcoin for its treasury.
Trading Activity
STRC concluded Wednesday’s session at $99.44, gaining 0.15%, with transaction volume reaching 2.66 million shares — exceeding its typical average of 2.4 million.
MSTR shares finished Wednesday’s trading up 9.39% at $179.36. This advance occurred as Bitcoin surged past $79,000 following President Trump’s announcement regarding resumed U.S.-Iran diplomatic discussions.
TD Cowen equity analyst Lance Vitanza maintained his buy recommendation on MSTR while preserving his $385 price objective. He noted the semi-monthly distribution framework establishes a continuous funding mechanism for ongoing Bitcoin acquisitions.
Bitcoin traded around $77,900 during current market hours, fluctuating within a 24-hour band of $77,456 to $79,468.
Strategy continues as the foremost publicly-traded Bitcoin treasury corporation, maintaining 815,061 Bitcoin valued at approximately $63.38 billion.
