Company: MSTR
Filing Date: 2025-07-31
Form Type: 424B5
Source: 0001193125-25-170517
Chunk: 84

Company: Strategy Inc
Filing Date: 2025-07-31
Form: 424B5
Chunk 84
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 will structure any Additional Shares, such that dividends paid

S-53

by us with respect to the STRC Stock will be economically a return of a stockholder’s investment. Moreover, we have obtained, and we intend to obtain in the future, advice of counsel in
connection with offerings of STRC 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. As the
liquidation preference of the STRC Stock is subject to adjustment in the manner described in this prospectus supplement and our current intention is to issue any shares of STRC Stock at a price per share not more than our optional redemption price
plus accrued and unpaid dividends that may apply to such instrument at the time of its issuance, it is generally not expected that the Offered Shares or Additional Shares would be issued at such a level of premium above their liquidation preference
or optional redemption price at the time of sale of the Offered Shares or Additional Shares so as to implicate the fast-pay stock rules. In addition, we do not intend to adjust the regular dividend rate, in a
manner that would cause the STRC Stock to be treated as fast-pay stock. Any adjustment to the regular dividend rate is expected to be consistent with our current intention to maintain the STRC Stock’s
trading price at or close to its stated amount of $100 per share, and therefore the STRC Stock’s dividend rate is generally expected to fluctuate over time. 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