Company: MSTR
Filing Date: 2025-03-10
Form Type: 424B5
Source: 0001193125-25-050408
Chunk: 33

Company: Strategy Inc
Filing Date: 2025-03-10
Form: 424B5
Chunk 33
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 stock (or resell any shares that we or any of our subsidiaries have purchased or otherwise acquired) from time to time (such issued or resold shares, the
“Additional Shares”). We do not intend to issue any shares of perpetual strike preferred stock that would be treated as fast-pay stock, and we do not believe that we structured the Offered Shares, or
will structure any Additional Shares, such that dividends paid by us with respect to the perpetual strike preferred stock will be economically a return of a stockholder’s investment. Moreover, we have obtained, and intend to obtain in the
future, advice of counsel in connection with offerings of perpetual strike preferred stock for the purpose of analyzing the consequences of issuing such shares, including in light of any legal developments regarding the definition of fast-pay stock. It is possible, however, that the Offered Shares or Additional Shares may be issued at a premium above their liquidation preference. Based on the expected overall circumstances of an offering of the
Offered Shares or Additional Shares (such as our general expectation that the value of the conversion option would, at issuance, exceed the amount of any such premium and certain other factors), we do not believe that such premium would be
attributable to dividends that are economically a return of a stockholder’s investment. Nonetheless, there may be increased risk that the IRS could assert that such Offered Shares or Additional Shares constitute
fast-pay stock.

Transactions involving fast-pay stock arrangements are
treated as “listed transactions” for U.S. federal income tax purposes. Issuers and holders of any shares of fast-pay stock would be required to report their participation in the transaction on IRS
Form 8886 on an annual basis with their U.S. federal income tax returns and would also be required to mail a copy of that form to the IRS Office of Tax Shelter Analysis. Failure to comply with those disclosure requirements could result in the
assessment by the IRS of interest, additions to tax and onerous penalties. In addition, an accuracy-related penalty applies under the Code to any reportable transaction understatement attributable to a listed transaction if a significant purpose of
the transaction is the avoidance or evasion of U.S. federal income tax. Furthermore, certain material advisors would also be required to file a disclosure statement with the IRS. If we determine that we are required to file an IRS Form 8886
(including a protective filing) in connection with the potential issuance of fast-pay stock with respect to any perpetual strike preferred stock, we intend to provide public notice to the