CHAD — DeFi Development Corp. Preferred Stock

Annual Dividend Rate

13.00%

Announced rate (issuer disclosed)

Effective Yield at Current Price

13.00%

Based on $1.30 annual dividend at $10 par

Distribution Frequency

Daily

~$0.01 per share/day

Dividend Reserve

$1.30/share

12 months of projected dividend payments set aside at each closing, per DeFi Development Corp.'s prospectus · disclosed Sep 8, 2026

About CHAD

CHAD is DeFi Development Corp.'s Variable Rate Series C Perpetual Preferred Stock, listed on the Nasdaq. It pays a 13.00% annual dividend distributed daily in cash, cumulative if ever missed, with a $10 stated value rather than the $100 the other three instruments here share — a real structural difference, not just a smaller number on the label. Management intends to manage the rate to keep the price within a long-term range, reviewed monthly or more often. CHAD closed its initial offering on 8 September 2026 and is available on most major brokerage platforms.

As preferred stock, CHAD ranks senior to DeFi Development Corp.'s common stock, and junior to the company's existing and future indebtedness. Net proceeds are earmarked for general corporate purposes, chiefly buying more Solana for the company's treasury, alongside other digital-asset investments and growth initiatives.

DeFi Development Corp. (Nasdaq: DFDV) describes itself as the first public Digital Asset Treasury company focused on Solana — the same playbook Strategy popularised for Bitcoin, applied to SOL instead. It holds over 2,538,010 SOL, the second-largest corporate Solana treasury after Forward Industries, and raises capital — much of it now through CHAD — to keep growing it, positioning the stock as a proxy for Solana accumulation with a preferred-dividend layer on top.

What I'd flag plainly: CHAD is the newest and smallest instrument on this site by some distance, with barely a month of trading history and no published rate-adjustment formula the way STRC has — the $10 stated value and daily cadence make it feel closest to SATA in mechanics, but it hasn't built the track record the other three have yet. I'm watching how consistently the daily dividend actually lands before I'd call it proven.

Visit DefiDevCorp.com

How CHAD is structured

Who ranks ahead of it, who ranks behind it, and where the dividend money comes from.

Most Senior
Debt · ~$216m outstanding

Convertible notes (2030) · Borrowing against pledged digital assets · Paid before any CHAD dividend or liquidation claim

DEBT
CHAD

13% variable · Daily · Cumulative · $10 stated value · $11 redemption option

PREFERRED
DFDV Common Stock

Absorbs losses first · No dividend priority · Uncapped SOL upside

COMMON EQUITY
Most Junior

CHAD in DeFi Development Corp.'s capital structure · Source: CHAD prospectus and 10-Q, balances at 30 June 2026

What ranks above it

About $216m of debt. At 30 June 2026 DeFi Development Corp. had approximately $215.8m of consolidated indebtedness, per the CHAD prospectus. The balance sheet splits it into $120.6m of long-term debt, which includes the April and July 2030 convertible notes, and $89.8m of digital asset financing arrangements, which are borrowings secured by pledged digital assets.

The prospectus says CHAD ranks "junior to our existing and future indebtedness" and structurally junior to the liabilities of its subsidiaries. That debt is paid before CHAD holders in a wind-up, and any new debt would rank ahead too.

For scale, the same filing shows total assets of about $203m, cash of $4.3m and a stockholders' deficit of about $12m, all before the CHAD raise. This is a much more leveraged balance sheet than Strive's or Bitmine's.

What ranks below it

DFDV common stock. It absorbs losses first and is paid last. CHAD dividends are cumulative, so a missed payment accrues and has to be cleared before common holders are paid. CHAD is the only preferred series in the stack.

How the dividend is financed

DFDV describes a "capital flywheel": raise money through CHAD, buy SOL, earn staking yield, repeat. It holds 2,538,010 SOL and discloses staking yields of 7–8% in 2025. The filings are careful not to promise that staking income will fund the dividend directly.

CHAD proceeds and the $300m ATM programme are earmarked mainly for buying more SOL. Dividends are paid from whatever capital is legally available at the time.

The dedicated cushion is a 12-month dividend reserve: $1.30/share put aside at closing, enough for a full year at 13%. It isn't topped up if the rate rises or more shares are sold, and in an insolvency creditors could still reach it.

Read more: How CHAD works

A yield like this always comes with risk — board discretion over dividends, rate changes, and crypto-collateral volatility among them. Read the full risk guide →

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