Liquidity from your STRC — without selling a share.
- Pledge STRC, get a credit line at up to 90% LTV
- Keep earning your 11.5% annual yield
- No sale — no taxable event
- Generate tax-deductible interest
- Shares stay at your broker
Available credit
$4,500,000
Pledged
50,000
STRC shares
Yield
11.5%
APY (ROC)
Next payout
$47,917
Mar 31
Recent activity
How it works
Three steps. No custody transfers. Your shares stay at your broker.
Lock
Pledge your STRC shares as collateral via a UCC control agreement. Shares remain in your brokerage account — a lien is placed, but ownership stays with you.
Borrow
Access a revolving line of credit at up to 90% LTV. Funds arrive in your corporate account for any lawful business purpose.
Keep earning
Your STRC continues to pay its monthly dividend — currently 11.5% annually. Your collateral works while it waits.
What is STRC?
And why borrow against it?
STRC is Strategy's Variable Rate Series A Perpetual Stretch Preferred Stock — a Nasdaq-listed preferred equity that combines price stability, high yield, and tax-deferred income into a single instrument.
Stable price + high yield + tax-deferred income — designed to trade near $100 with an 11.5% annualized dividend treated as return of capital
Monthly dividends supported by cash reserves — consistent, predictable income paid every month
Overcollateralized by bitcoin reserves — Strategy's bitcoin treasury backs the preferred equity structure
Most liquid preferred equity on earth — Nasdaq-listed with over $3.5 billion market cap
STRC dividends are currently treated as return of capital (reducing cost basis, not taxed as ordinary income). Rate adjusts monthly with a 25 bps max decrease. Floor = SOFR.
No taxable event
Borrow instead of sell — avoid realizing capital gains on your STRC position
Tax-advantaged yield
STRC dividends are currently return of capital — reducing basis, not taxed as income
Yield continues
Your 11.5% annual dividend keeps paying monthly, even while shares are pledged
Shares stay at your broker
A UCC lien is placed on your shares, but they remain in your brokerage account — no transfer required
The numbers
Current STRC yield
Annualized, paid monthly
Advance rate
Credit line as % of collateral value
Platform fees
No origination or maintenance fees
STRC yield as of March 2026. Rate adjusts monthly. Advance rate and terms subject to underwriting approval. This is not an offer to lend.
See what your STRC unlocks
Enter your position size. See the credit line, the yield you keep, and the real cost of borrowing.
Based on STRC at ~$100/share, 11.5% annual yield, 90% advance rate, and ~8.5% borrow rate. Actual terms determined during underwriting. Not an offer to lend.
Credit line available
$2,250,000
Annual yield you keep
$287,500
$23,958/mo
Annual borrow cost
$191,250
If fully drawn
Net income after borrowing
+$96,250
Your yield exceeds your borrow cost
Effective rate
+4.3%
Because your STRC dividends (currently return of capital) keep paying while pledged, your effective borrowing cost is significantly lower than the headline rate.
Built for corporate treasuries
You bought STRC for the yield. Selling it to free up cash means losing that income and triggering a taxable event. That's a bad trade.
Loch lets you keep the position, keep the yield, and access liquidity on demand. Operating capital, bridge financing, new deployments — without unwinding what's working.
BFC member companies
Bitcoin for Corporations members with STRC allocations get priority access to the Loch pilot.
Corporate treasuries
Any corporation holding STRC at a supported brokerage can apply for a credit line.
Institutions & funds
Institutional holders looking to leverage their STRC position without triggering a taxable event.
Questions
Loch is a corporate credit facility backed by STRC — Strategy's Variable Rate Series A Perpetual Stretch Preferred Stock. You pledge your STRC shares as collateral, and Loch provides a line of credit against them. Your shares stay at your broker, and your dividends keep paying.
Once your STRC shares are pledged via a UCC control agreement at your brokerage, Loch's lending partner extends a revolving line of credit. You draw funds as needed and repay on flexible terms. Interest accrues only on what you borrow.
Yes. Your STRC shares continue to pay their monthly dividend while pledged as collateral. The current annualized rate is 11.5%. Dividends are paid directly to you.
Your STRC shares remain in your brokerage account. A UCC control agreement places a lien on the shares, giving the lender a security interest — meaning you cannot sell or transfer them while pledged. However, you retain ownership and continue to receive dividends.
Borrowing against your STRC avoids a sale, which means no capital gains are realized. You access liquidity without a taxable event. Additionally, STRC dividends are currently treated as return of capital — they reduce your cost basis rather than being taxed as ordinary income or qualified dividends. The interest you pay on your credit line may also be tax-deductible as a business expense. Consult your tax advisor for your specific situation.
Loch provides non-purpose credit — meaning you can use the proceeds for any corporate need. Operating expenses, capital deployment, bridging cash flows — there are no restrictions on how funds are used.
Loch is available to corporate entities holding STRC at a supported brokerage. The initial pilot is limited to Bitcoin for Corporations (BFC) member companies. We'll expand access as the platform scales.
Advance rates are determined during underwriting and depend on your STRC position size and creditworthiness. Typical advance rates are up to 90% of collateral value, subject to ongoing maintenance requirements.
No. STRC is designed to trade near $100 with minimal price volatility, which means there is no margin call mechanism on Loch credit lines. Your collateral value remains stable, so there's no risk of forced liquidation due to price fluctuations.
Ready to unlock liquidity?
The pilot is open to select corporate holders. Apply now to secure your place.
Not a bank, broker-dealer, or investment adviser. Not an offer to lend. All terms subject to underwriting. Important disclosures