Company: MSTR
Filing Date: 2025-11-04
Form Type: 424B5
Source: 0001193125-25-263759
Chunk: 62

Company: Strategy Inc
Filing Date: 2025-11-04
Form: 424B5
Chunk 62
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 there may be increased risk that the IRS could assert that such Offered Shares or Additional Shares constitute fast-pay stock.

SA-38

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 STRD Stock, we intend to provide public notice to the applicable holders of the STRD Stock, which notice may
be by a press release, by publication on our investor relations website, or by filing a current report on Form 8-K with the Securities and Exchange Commission.

Notwithstanding our intent not to issue STRD Stock that would be fast-pay stock, the rules regarding the definition of
fast-pay stock are unclear in certain respects and, therefore, the IRS could disagree with our determination and treat Offered Shares or Additional Shares as fast-pay
stock. In addition, as discussed above under “—Multiple Issuances of STRD Stock—Effect of Fungible Trading,” the treatment of any shares of STRD Stock as fast-pay stock could affect
other shares of STRD Stock if all such shares are indistinguishable with each other because they have the same CUSIP or other identifying number. Accordingly, even if your Offered Shares are not fast-pay
stock, if the IRS treated any shares of STRD Stock as fast-pay stock, you might be required to demonstrate to the IRS that you purchased your Offered Shares in a different issuance in order to avoid fast-pay stock treatment.

Furthermore, treatment of any shares of STRD Stock as
fast-pay stock could adversely affect the trading price of all shares of STRD Stock. Accordingly