Legal Storm Surrounding Strategy: Rosen Law Firm Launches Investigation into Michael Saylor's Company
The Rosen Law Firm has officially initiated an investigation into Strategy (formerly known as MicroStrategy) and invites investors who purchased the company's securities to join a potential class action lawsuit. This event has sent a serious signal to the market, given Strategy's enormous influence on the crypto industry.
Nature of the Claims and Securities Involved
Lawyers at the Rosen Law Firm are examining whether Strategy and its management published misleading statements about its operations, bitcoin storage strategy, business profitability, and related risks. Five types of securities have come under the investigation's scope: MSTR, STRF, STRC, STRK, and STRD. Particular attention is focused on STRC — a perpetual preferred stock that has recently shown extremely volatile dynamics.
The initiation of the investigation comes amid growing market concern over Strategy's capital structure and its aggressive reliance on various debt and equity instruments to finance bitcoin purchases. Although the firm has not yet filed formal charges, the very fact of the investigation raises questions about the transparency of the company's financial model.
Will the Terra Collapse Repeat? Arkham's Opinion
Against the backdrop of STRC falling below par, parallels have emerged in the community with the collapse of the Terra (LUNA) ecosystem. However, on-chain analytics platform Arkham was quick to dispel these fears. In their view, the situation is fundamentally different. Unlike Terra, Strategy has no legal obligation to support the market price of STRC. The company does not use algorithmic stabilization mechanisms that proved fatal for LUNA.
"Saylor cannot go bankrupt due to a drop in STRC," Arkham emphasizes. "The value of STRC only reflects how much the market believes in the continuation of dividend payments." However, analysts point to a critical risk: dividend payments on preferred shares remain at the discretion of the board of directors and are not legally mandatory. According to Arkham's calculations, maintaining the current level of STRC payouts requires approximately $1.2 billion per year, casting doubt on the model's sustainability in the event of deteriorating market conditions.
Market and Analyst Reaction
Prominent analyst Shanaka Anslem urged against dramatizing the situation. He noted that the Rosen Law Firm notice is a standard practice of client solicitation after a sharp stock decline, not evidence of fraud. "There is no SEC lawsuit, no DOJ case, no specific misrepresentations of fact," he wrote.
Nevertheless, the market continues to assess the sustainability of Strategy's financial model. The company's ability to simultaneously service debt, pay dividends, and continue aggressive bitcoin purchases remains in question, especially during periods of market weakness. At the time of publication, Strategy and Michael Saylor have not commented on the situation.
Expert opinion: The initiation of the investigation by the Rosen Law Firm is not a verdict, but a powerful wake-up call for investors. Saylor's strategy is a bet on the infinite growth of bitcoin, and any scenario involving a prolonged correction or bear market could trigger a cascade of liquidity problems. The key question now is not whether the company broke the law, but how resilient its business model is to stress tests.