Castle launches personal accounts to convert STRC dividends into Bitcoin

Castle announced that its automated financial platform is now open to personal account holders. Users can choose how much of the cash dividend paid on Strategy’s STRC preferred stock they want to keep as cash and how much to convert into Bitcoin.

How the conversion works

STR C pays a variable 12% annual dividend on a $100 stated amount. The dividend is first paid in cash, after which Castle purchases Bitcoin on behalf of the account holder based on the percentage they set. The allocation runs automatically for each dividend payment unless the user updates the instruction.

Options for investors

• Keep the entire dividend in cash.
• Convert the entire dividend into Bitcoin.
• Set a mixed allocation, e.g., 50% cash and 50% Bitcoin.

Many customers opt for a mixed approach, using cash for expenses while automatically building a Bitcoin position without separate transfers to an exchange.

Background on STRC

STRC, formally “Strategy’s Variable Rate Series A Perpetual Stretch Preferred Stock,” is listed on Nasdaq and carries a variable 12% annual dividend rate for record dates beginning September 2026. The rate is not guaranteed and can be adjusted monthly. Dividend payments are semi‑monthly, with record dates on the 15th and last day of each month.

From business‑focused to personal use

Previously, Castle’s automation was available only to businesses and nonprofit organizations for cash management and Bitcoin accumulation. Feedback from those clients prompted the launch of personal accounts, allowing individual investors to apply the same automated rules to their dividend income.

Regulatory and tax considerations

U.S. users receive cash dividends from STRC and then purchase Bitcoin through Castle’s platform. The conversion is not an in‑kind Bitcoin dividend from Strategy. Users will need to track the cash dividend and the subsequent Bitcoin purchase for tax reporting, as the IRS treats digital assets as property.

Company background

Castle was founded by Stephen Cole and João Almeida and is backed by Boost VC and Winklevoss Capital. The firm previously raised $1 million in 2025 to develop automated Bitcoin treasury tools for small and medium‑sized businesses.