Electrum 4.8.3, released Oct 24, patches a critical flaw in prior versions. Malicious servers could redirect payments by substituting a zero-fee transaction with the attacker's address. If users raised the fee, they broadcast a valid payment to the attacker. The patch verifies signatures for wallet inputs before recording unconfirmed transactions. Users should update or manually check addresses.

Perpetual preferred stock has become the most powerful capital tool for Bitcoin treasury companies since convertible bonds and common equity offerings. It sits between debt and common equity, carries no fixed maturity or principal repayment, and appeals to fixed-income investors who want steady payouts without direct Bitcoin exposure. In less than two years, companies including Strategy (MSTR), formerly MicroStrategy, and Strive (ASST) have used it to accumulate more than 136,000 BTC. Fidelity Research analyst Zack Wainwright wrote in a Tuesday report that these instruments have funded roughly 136,000 bitcoins, over 0.5% of the cryptocurrency maximum supply. Strategy, the largest public Bitcoin holder, has five classes of preferred shares. Its first product, STRK, launched in February 2025. Fidelity estimates the Bitcoin-linked preferred market at about $12 billion, against a $150 trillion global fixed-income market, leaving room to grow. The appeal is clear. Perpetual preferred shares pay regular dividends, carry no maturity date and no voting rights, easing refinancing pressure while drawing income-focused investors. StoneX senior equity research analyst Mark Palmer said perpetual preferred shares have brought Bitcoin to fixed-income investors, a group ETFs have not reached. Bitwise research head Ryan Rasmussen expects ETFs to remain the main source of Bitcoin demand, with preferred issuance as a secondary tailwind for a different investor base. CoinShares research head James Butterfill noted that STRC pays a floating dividend of about 12% and had raised $7.5 billion through the end of July 2026. The structure carries costs and risks. Alex Blume, founder and CEO of Two Prime, said products such as STRC and Strive SATA are sensitive not only to Bitcoin price but also to management execution, issuer debt obligations and broader capital markets. STRC briefly traded in the $70 range in late June. Strategy preferred shares now trade near $99.40. The core tension is reflexivity. Palmer said demand for perpetual preferred shares depends on the securities trading at or above par. If price falls below par, new issuance loses appeal and companies may turn to buybacks. Butterfill said Strategy spent $193 million repurchasing STRC in its latest weekly report while buying only 267 bitcoins. The company also raised its preferred stock repurchase authorization to $3 billion. Buybacks can cut future dividend costs but compete directly with Bitcoin purchases for scarce capital. Strategy has previously sold some Bitcoin to pay preferred dividends. ETFs remain the larger demand channel. Butterfill said U.S. spot Bitcoin ETFs have attracted about $57 billion in cumulative net inflows and hold about $106 billion in assets. ETF subscriptions directly increase fund Bitcoin holdings, while preferred issuance gives management discretion over proceeds. ETF redemptions can reverse buying demand, but they do not leave behind mandatory dividend obligations. In his view, preferred shares amplify market cycles: they support buying when financing conditions are favorable and weaken quickly when sentiment turns.