Although MicroStrategy (MSTR) has introduced a capital management reform plan to address the sharp decline in its preferred stock STRC and dividend burden, Galaxy Digital pointed out that it is more of a time-buying measure than a fundamental solution. Alex Thorn, Head of Research at Galaxy Digital, stated via X, "MicroStrategy still has a large amount of preferred stock issued, and its obligation to continuously bear dividends is significant. In particular, financial burdens are expected to increase further as convertible bonds totaling $6.7 billion mature in 2027 and 2028." He added, "MicroStrategy's funding structure still relies on the premise that the current structure can raise funds from the market. In particular, the BTC monetization program, which was controversial in this announcement, could undermine MicroStrategy's core investment thesis. However, from MicroStrategy's perspective, it would have needed to secure the option to sell BTC to prevent a temporary cash shortage from escalating into an existential crisis for the company. Nevertheless, in the future, it must devise ways to generate profits from its held BTC. While the cryptocurrency market is currently sluggish, MicroStrategy's latest move will help buy time until the market improves," he diagnosed. MicroStrategy announced late last month that it would introduce a capital management framework, including a reserve policy, STRC dividend adjustments, share repurchases, and the sale of $1.25 billion worth of BTC.