Different investors need different instruments
Bitcoin treasuries don't just issue one type of security — they experiment with a range of products to match risk appetites. Investors should weigh upside potential vs. volatility vs. downside protection
Retail traders, aggressive investors
No built-in downside protection; pure play on BTC growth
Upside: Very high (direct exposure to BTC + premium expansion)
Volatility: Very high (shares swing with BTC and sentiment)
Pension funds, institutions, conservative investors
Priority claims/dividends; safer profile but limited growth
Upside: Moderate (capped)
Volatility: Low–Medium (payout cushions swings)
Family offices, moderate risk investors
Engineered to target yield, cap losses, or shape risk
Upside: Balanced (customized payoffs)
Volatility: Medium (design-dependent)
Fixed-income investors seeking yield with optional upside
Key tool used by treasury companies to raise capital for BTC purchases
Upside: Straight Bonds: Low (fixed yield) | Convertible: Medium–High (BTC-linked upside)
Volatility: Low for straight bonds; Medium for convertibles
Public equity investors, institutions with large cap mandates
MSTR common stock, convertible bond raises, occasional equity offerings
Upside: Very high (largest BTC treasury play)
Volatility: High (moves with BTC but also premium/market cycles)
Speculators, early adopters
Bitcoin-denominated convertibles, treasury tokenization, BTC-collateralized yield products
Upside: Varies (frontier experimentation)
Volatility: High (unproven)
MicroStrategy (“Strategy”) offers a four-part curve tailored to treasury needs: a cash-like variable front end (Stretch), mid-curve carry (Stride), a long-duration senior anchor (Strife), and a convertible kicker (Strike). Ratings use the same 1–5 scale shown on this page.
Strategy has engineered a full fixed-income menu — cash-like stability, high-yield carry, investment-grade long anchor, and equity-linked upside — all collateralized by Bitcoin. It’s the first true BTC-backed yield curve for institutional credit.
Terms: “Cumulative” = missed dividends accrue; “Non‑cumulative” = missed dividends don’t accrue; “Convertible” = can be exchanged for common shares at set terms.
Cash desks & treasurers needing near-par stability with attractive carry
Monthly variable coupon; board resets to track short-term BTC financing; designed to trade near $100
Coupon: Variable (monthly reset)
Seniority: High (just below the top senior piece)
Duration: ~0 years (cash-like)
Use case: Tax earmarks / cash anchor
Yield hunters willing to accept dividend skip risk for higher carry
Fixed 10% non-cumulative; priced at a discount → elevated effective yield
Coupon: Fixed (quarterly), non-cumulative
Seniority: Lowest within the four preferreds (above common)
Duration: ~9 years (mid-curve)
Risk: Board may skip dividends; higher carry compensates
Pensions/insurers seeking seniority + cumulative protection with low vol
Top seniority in the preferred stack; cumulative dividend; long-duration anchor
Coupon: Fixed (quarterly), cumulative
Seniority: Highest among preferreds
Duration: ~12 years (long anchor)
Profile: Investment-grade-style carry; lowest vol among the four
Crossover credit/equity investors wanting coupon + equity convexity
8% cumulative + option to convert into common if equity rips; duration collapses when in-the-money
Coupon: Fixed (quarterly), cumulative
Seniority: Mid (mezzanine-like)
Duration: ~14 years base (shortens if conversion goes ITM)
Kicker: Equity-style upside via conversion
*Base duration for convertibles compresses if conversion becomes in-the-money. Ratings are heuristic and aligned to a 1–5 scale.
Best Fit: Retail traders, aggressive investors
Examples: Nakiki common, MetaPlanet common
Best Fit: Pension funds, conservative institutions
Examples: Strategy STRD / STRC preferred
Best Fit: Family offices, balanced investors
Examples: Strategy engineered notes, bespoke deals
Best Fit: Fixed-income investors, ultra conservative
Examples: MicroStrategy 2020 bond, MetaPlanet notes
Best Fit: Yield-seeking investors with upside goals
Examples: MicroStrategy 2021 convertibles
Best Fit: Equity investors, institutions
Examples: MSTR common stock, equity raises
Best Fit: Speculators, early adopters
Examples: BTC-denominated convertibles, tokenized shares
Best Fit: Cash desks & treasurers needing near-par stability
Examples: Variable monthly reset; near-par behavior
Best Fit: Yield hunters accepting skip risk for higher carry
Examples: Fixed non-cum; discounted pricing → higher eff. yield
Best Fit: Pensions/insurers needing seniority + cumulative protection
Examples: Top seniority; cumulative; long-duration anchor
Best Fit: Crossover credit/equity seeking coupon + upside
Examples: Convertible; duration compresses when ITM
Explore treasury companies and their specific product offerings to find the right investment for your portfolio.