I borrowed against my HELOC at a 5% promotional rate and bought STRC at $94.13 per share in late September 2025. I modeled the same economics with $50,000: 531 shares.
From October 2025 through February 2026, that example collected $2,379 in dividends. The HELOC cost $1,151 over 168 days, and STRC's move to roughly $100 created a $3,129 unrealized gain. Net profit after 5.5 months was about $4,357, or 8.7%.
The trade worked because the yield exceeded my borrowing cost and the share price rose. STRC's return-of-capital distributions deferred tax while reducing cost basis. After the promo, the source math paired a 6.98% HELOC rate with an 11.50% STRC dividend rate, leaving about $2,260 in annual carry.
That spread doesn't make the trade safe. STRC is variable-rate preferred equity, carries no direct claim on Strategy's bitcoin, and had less than a year of trading history when I wrote this. If borrowing costs rise while STRC trades below my purchase price, unwinding could turn income into a loss.
Leverage can accelerate a FIRE plan, but the exit matters as much as the yield. I sized the position around the price risk I could absorb.
See the full math, tax mechanics, and risk analysis: https://firebtc.io/p/why-i-bought-strc-with-borrowed-money
Trey
npub1m6…ue2p9
2026-10-03 13:22:07 UTC
Author Public Key
npub1m6y9qq06c74trgs60ya320pgmhz6099grra5lw04akyuxvcz7lvq9ue2p9Seen on
wss://relay.damus.ioPublished at
2026-10-03 13:22:07 UTCEvent JSON
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"content": "I borrowed against my HELOC at a 5% promotional rate and bought STRC at $94.13 per share in late September 2025. I modeled the same economics with $50,000: 531 shares.\n\nFrom October 2025 through February 2026, that example collected $2,379 in dividends. The HELOC cost $1,151 over 168 days, and STRC's move to roughly $100 created a $3,129 unrealized gain. Net profit after 5.5 months was about $4,357, or 8.7%.\n\nThe trade worked because the yield exceeded my borrowing cost and the share price rose. STRC's return-of-capital distributions deferred tax while reducing cost basis. After the promo, the source math paired a 6.98% HELOC rate with an 11.50% STRC dividend rate, leaving about $2,260 in annual carry.\n\nThat spread doesn't make the trade safe. STRC is variable-rate preferred equity, carries no direct claim on Strategy's bitcoin, and had less than a year of trading history when I wrote this. If borrowing costs rise while STRC trades below my purchase price, unwinding could turn income into a loss.\n\nLeverage can accelerate a FIRE plan, but the exit matters as much as the yield. I sized the position around the price risk I could absorb.\n\nSee the full math, tax mechanics, and risk analysis: https://firebtc.io/p/why-i-bought-strc-with-borrowed-money",
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