Company: MSTR
Filing Date: 2025-07-07
Form Type: 424B5
Source: 0001193125-25-155880
Chunk: 25

Company: Strategy Inc
Filing Date: 2025-07-07
Form: 424B5
Chunk 25
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Stock will be economically a return of a stockholder’s investment. Moreover, we have

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obtained, and we intend to obtain in the future, advice of counsel in connection with offerings of STRD 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 STRD Stock is subject to adjustment in the manner described in this prospectus supplement, it is
generally not expected that any Offered Shares or Additional Shares would be issued at such a level of premium above their liquidation preference at the time of sale of the Offered Shares or Additional Shares so as to implicate the fast-pay stock rules. 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 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 SEC.

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, even if a particular issuance of Offer