IP Strategy Launches Treasury Yield-Enhancement Program

Rhea-AI Summary

IP Strategy (Nasdaq: IPST) launched a treasury yield-enhancement program focused on its $IP token, recording an average monthly yield of 3.96% (59.37% compounded annualized) in a four-week test.

The program deployed 3 million $IP tokens into a structured covered-call strategy, generating $167,324 of gross income without selling tokens. The company plans measured expansion to fund operating costs and noted a board authorization to repurchase up to 1 million shares (≈10% outstanding) in 2026.

Positive

• 3.96% monthly yield (59.37% annualized) from initial testing
• $167,324 gross income generated without selling $IP tokens
• Deployed 3 million $IP tokens into covered-call strategy
• Board authorized 1 million share repurchase (~10% outstanding)

Negative

• Performance measured over a four-week testing period only

News Market Reaction – IPST

-13.31%

10 alerts

-13.31% News Effect

-25.5% Trough in 26 hr 53 min

-$1M Valuation Impact

$7M Market Cap

0.5x Rel. Volume

On the day this news was published, IPST declined 13.31%, reflecting a significant negative market reaction. Argus tracked a trough of -25.5% from its starting point during tracking. Our momentum scanner triggered 10 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $1M from the company's valuation, bringing the market cap to $7M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Average monthly yield: 3.96% Annualized yield: 59.37% Gross income: $167,324 +5 more

8 metrics

Average monthly yield 3.96% First four weeks of treasury yield-enhancement program

Annualized yield 59.37% Compounded annualized basis from initial program results

Gross income $167,324 Income generated in first four weeks of program

Testing period 4 weeks Initial trial period for new yield-enhancement strategy

Initial token allocation 3,000,000 $IP tokens Deployed into structured covered-call strategy

Share repurchase authorization Up to 1,000,000 shares 2026 buyback program authorization

Buyback as share percentage Nearly 10% Portion of issued and outstanding common shares in market

Repurchase period 2026 Year during which up to 1,000,000 shares may be repurchased

Market Reality Check

Price: $0.6590 Vol: Volume 239,326 is below t...

normal vol

$0.6590 Last Close

Volume Volume 239,326 is below the 20-day average of 317,053, suggesting muted participation ahead of this update. normal

Technical Shares at 0.7721 are trading below the 200-day MA of 7.17, reflecting a longer-term downtrend despite the new yield initiative.

Historical Context

5 past events · Latest: Feb 19 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 19	Share repurchase plan	Positive	-5.7%	Board authorized buyback of up to 1,000,000 shares through 2026.
Feb 18	Corporate rebranding	Positive	+11.9%	Name change to IP Strategy highlighting focus on programmable IP and AI.
Feb 17	AI music partnership	Positive	+9.2%	Statement on Aria’s K-pop release adding master rights to $APL portfolio.
Feb 11	AI data platform	Positive	-1.4%	Statement on ZenO public beta showcasing Story-based AI data use cases.
Feb 04	Validator update	Positive	-1.0%	Validator and ecosystem update with staking, rewards, and uptime metrics.

Pattern Detected

Recent history shows several positive ecosystem or capital allocation updates followed by mixed to negative price reactions, indicating a tendency toward divergence on good news.

Recent Company History

Over recent weeks, IP Strategy has announced multiple Story ecosystem and capital allocation milestones. A validator update on Feb 4 and an AI use-case statement on Feb 11 were followed by modest declines. Name-change and AI music announcements on Feb 17–18 coincided with double-digit gains. The Feb 19 share repurchase authorization, covering nearly 10% of shares, saw a negative reaction. Today’s treasury yield program extends this theme of monetizing digital assets and capital returns amid volatile price responses.

Market Pulse Summary

The stock dropped -13.3% in the session following this news. A negative reaction despite the attract...

Analysis

The stock dropped -13.3% in the session following this news. A negative reaction despite the attractive reported yields would fit a pattern where several positive ecosystem or capital allocation updates saw weak follow-through. The new program produced a 3.96% average monthly yield and $167,324 in four weeks from 3 million tokens, but shares have traded far below the 200-day MA. That backdrop suggests market skepticism around sustainability, execution, or overall digital-asset risk despite constructive headlines.

Key Terms

treasury reserve policy, treasury yield-enhancement program, structured covered-call strategy, validator infrastructure business, +2 more

6 terms

treasury reserve policy financial

"the first company to adopt a treasury reserve policy centered on the $IP token"

A treasury reserve policy is a company's written plan for how much cash and other liquid assets it keeps on hand, where those funds are held, and how they can be used. It matters to investors because it shows how prepared a business is to handle unexpected costs, fund operations or investments, and meet debt obligations—similar to a household emergency fund that prevents selling valuables in a crisis and helps preserve financial stability and flexibility.

treasury yield-enhancement program financial

"announced the launch of a new treasury yield-enhancement program earning an average monthly yield"

A treasury yield-enhancement program is a cash-management approach that tries to boost the modest interest earned on government treasury securities by lending those securities or engaging in short-term transactions that generate extra fees. Think of it like parking money in a very safe account but allowing a trusted borrower to use it briefly in return for extra income. It matters to investors because it can raise portfolio income while introducing additional counterparty and liquidity risks that can affect returns and safety.

structured covered-call strategy financial

"deployed an initial allocation of 3 million $IP tokens into a structured covered-call strategy"

A structured covered-call strategy combines owning shares with selling the right for someone else to buy those shares at a set price, while arranging the timing, strikes and premiums to meet a specific income or risk goal. Think of it as owning a house and renting out the option to buy it later: you collect steady income but agree to give up some upside if the price soars, and you still face losses if the underlying stock falls sharply. Investors use it to boost yield and smooth returns, at the cost of capped gains and limited downside protection.

validator infrastructure business technical

"to support its validator infrastructure business, which is a primary long-term driver of revenue"

A validator infrastructure business operates and maintains the computers and software that check, confirm and record transactions on blockchain networks that rely on staked tokens for security. Investors care because it turns network activity into fees or rewards, but its value hinges on uptime, security, competition, token-price swings and regulatory treatment—think of it like a toll operator or utility provider whose earnings depend on steady traffic and reliable service.

share repurchase program financial

"board of directors has authorized a share repurchase program of up to 1 million shares"

A share repurchase program is when a company buys back its own shares from the marketplace. This reduces the total number of shares available, which can increase the value of each remaining share and signal confidence in the company's prospects. For investors, it often suggests that the company believes its stock is undervalued or that it has extra cash to return to shareholders.

digital-asset treasury model financial

"to build a differentiated digital-asset treasury model designed to enhance capital efficiency"

A digital-asset treasury model describes a company’s plan for holding and managing cryptocurrencies or other blockchain-based tokens as part of its cash reserves and financial strategy. It matters to investors because treating crypto like a bank deposit or short-term investment can boost returns but also introduces higher price swings, liquidity limits and regulatory uncertainty—similar to a business deciding to keep part of its cash in foreign currency or commodity instead of only plain cash.

AI-generated analysis. Not financial advice.

New program off to a successful start with 3.96% average monthly yield after first four weeks

GIG HARBOR, Wash., Feb. 23, 2026 (GLOBE NEWSWIRE) -- IP Strategy Holdings, Inc. (Nasdaq: IPST) (the “Company” or “IP Strategy”), the first company to adopt a treasury reserve policy centered on the $IP token, today announced the launch of a new treasury yield-enhancement program earning an average monthly yield of 3.96%% (or 59.37% on a compounded annualized basis).

In its first four weeks of testing, the program generated $167,324 of gross income without selling any of the Company’ $IP tokens. Under the program, IP Strategy deployed an initial allocation of 3 million $IP tokens into a structured covered-call strategy designed to generate enhanced recurring treasury income while maintaining exposure to long-term ecosystem upside.This encouraging early performance demonstrates the Company’s ability to actively monetize a portion of its digital asset treasury while maintaining exposure to the broader Story ecosystem.

Following this initial phase, IP Strategy intends to expand the strategy in a measured way over time with the objective of funding a substantial portion of its operating costs through recurring treasury income. Importantly, this approach utilizes only a small fraction of the Company’s total token holdings, preserving the majority of treasury assets to support its validator infrastructure business, which is a primary long-term driver of revenue, network participation, and shareholder value creation.

By adding disciplined treasury yield strategies to validator cash flows, IP Strategy is executing on its vision to build a differentiated digital-asset treasury model designed to enhance capital efficiency while supporting sustainable growth. This news follows the Company’s recent announcement that the board of directors has authorized a share repurchase program of up to 1 million shares of the Company’s common stock during 2026, nearly 10% of the issued and outstanding shares in the market.

About IP Strategy
IP Strategy Holdings, Inc. (Nasdaq: IPST) is the first Nasdaq-listed company to hold $IP tokens as a primary reserve asset and operate a validator for the Story Protocol. The Company provides public market investors broad exposure to the $80 trillion programmable intellectual property economy in a regulated equity format. IP Strategy’s treasury reserve of $IP tokens provides direct participation in the Story ecosystem, which enables on-chain registration, licensing, and monetization of intellectual property.

Forward-Looking Statements

This press release contains forward-looking statements, including statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “aims,” “anticipates,” “believes,” “could,” “estimates,” “expects,” “forecasts,” “goal,” “intends,” “may,” “plans,” “possible,” “potential,” “seeks,” “will,” and variations of these words or similar expressions that are intended to identify forward-looking statements. Any such statements in this press release that are not statements of historical fact may be deemed to be forward-looking statements. These forward-looking statements include, but are not limited to, the potential for the program to generate enhanced recurring treasury income, the illustrative potential yield of income on an average monthly basis and compounded annualized basis, the Company’s ability to actively monetize a portion of its digital asset treasury while maintaining exposure to the broader Story ecosystem, the potential expansion of the covered-call strategy, the potential for the Company’s validator business to be a primary long-term driver of revenue, network participation and shareholder value creation, and the Company’s vision to build a differentiated digital-asset treasury model designed to enhance capital efficiency while supporting sustainable growth.

Any forward-looking statements in this press release are based on IP Strategy’s current expectations, estimates and projections only as of the date of this release and are subject to a number of risks and uncertainties that could cause actual results to differ materially and adversely from those set forth in or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, risks related to the volatility of the Company’s common stock and any correlation between the Company’s stock price and the price of $IP tokens, the legal, commercial, regulatory and technical uncertainty regarding digital assets generally, and expectations with respect to future performance and growth. These and other risks concerning IP Strategy’s programs and operations are described in additional detail in its registration statement on Form S-1 initially filed with the Securities and Exchange Commission (“SEC”) on August 26, 2025, as amended by Amendment No. 1 filed on October 16, 2025, Amendment No. 2 filed on December 12, 2025 and Amendment No. 3 filed on December 19, 2025, its latest annual report on Form 10-K, subsequent quarterly reports on Form 10-Q, and any other subsequent filings with the SEC. IP Strategy explicitly disclaims any obligation to update any forward-looking statements except to the extent required by law.

Investor Contact
(800) 595-3550
ir@ipstrategy.co

FAQ

What yield did IP Strategy (IPST) report from its new treasury program on February 23, 2026?

IP Strategy reported an average monthly yield of 3.96%, equivalent to 59.37% compounded annualized. According to the company, this figure reflects the first four weeks of the program's testing period.

How much income did IP Strategy (IPST) generate in the first four weeks of the treasury program?

The program produced $167,324 of gross income in its initial four-week test without selling $IP tokens. According to the company, income came from a structured covered-call allocation of 3 million $IP tokens.

How many $IP tokens did IP Strategy (IPST) allocate to the yield-enhancement strategy?

IP Strategy deployed an initial allocation of 3 million $IP tokens into the covered-call strategy. According to the company, this uses only a small fraction of the firm's total token holdings.

Will IP Strategy (IPST) sell $IP tokens to generate treasury income?

No; the company reported generating income without selling $IP tokens during the initial test. According to the company, the strategy monetizes a portion of the digital asset treasury while preserving long-term token exposure.

What is the scope of the share repurchase program authorized by IP Strategy (IPST) in 2026?

The board authorized repurchasing up to 1 million shares of common stock in 2026, roughly 10% of outstanding shares. According to the company, this authorization is intended to return capital and support shareholder value.