Bitcoin financial firm Strive announced a $500 million at-the-market offering. The raised funds are planned to be allocated to a wide range of corporate activities, including the purchase of Bitcoin (BTC).
This announcement was made against the backdrop of the company's existing Bitcoin holdings, which are currently facing an unrealized loss of about 18% due to the decline in cryptocurrency assets.
Strive's plan to expand Bitcoin holdings even under unrealized losses
In a recent press release, Vivek Ramaswamy's company revealed that it has signed a sales agreement. This will allow the company to issue and sell variable-rate Series A perpetual preferred stock (SATA stock) through an at-the-market offering of up to $500 million.
The use of funds is for general corporate purposes, including the acquisition of Bitcoin and Bitcoin-related assets. It may also be used for working capital, asset purchases for revenue generation, potential stock buybacks, debt repayment, and more.
The press release states that "SATA stocks can be sold by sales agents in a manner deemed an 'at-the-market offering' as defined in Rule 415(a)(4) under the 1933 Securities Act, or by other legally permissible means in accordance with the terms of the sales contract."
According to Strive's Bitcoin Strategy Tracker, the company purchased Bitcoin three times in 2025. It acquired 5816BTC in early September, added 72BTC in late October, and further increased its holdings by 1567BTC in early November.
The total holding is 7525BTC, making it the 14th largest among publicly traded companies holding Bitcoin. The average acquisition cost per BTC is $113,383.
According to the latest data, the company's Bitcoin valuation is $699,810,000, representing an unrealized loss of approximately 18%, or about $153,000,000.
Pressure on digital asset management companies
On the other hand, it is not just Strive. According to data from Bitcoin Treasuries, other companies like Metaplannet, GD Culture Group, and Remixpoint are also facing unrealized losses due to Bitcoin market trends.
Bitcoin faced significant headwinds in October, accelerating its decline into November. By mid-month, BTC fell below $100,000 and has not recovered since.
However, a slight recovery was observed in the last 24 hours. At the time of writing, Bitcoin is trading at $92,377, reflecting a 2.42% increase.
In addition to market volatility, DAT companies are currently facing structural pressure from index calculation companies. MSCI has proposed to reclassify companies where digital assets account for over 50% of their total assets as 'funds'.
This may result in the relevant companies being excluded from MSCI's benchmark. This decision holds extremely significant implications for DAT companies. If excluded from the index, a large outflow of passive investment funds is anticipated.
Last week, Strive submitted a 7-page letter to the chairman of MSCI urging a reconsideration of this proposal.
Strive states, "Index providers have not excluded energy companies where oil reserves constitute the majority of the balance sheet, gold mining companies that heavily depend on the metals they extract, or financial companies where securities and derivatives are the primary assets. Establishing a rule that specifically excludes only digital assets is a deviation from tradition lacking regulatory and economic rationality."
MSCI's decision is scheduled to be announced on January 15, 2026. This outcome could shape how traditional markets treat companies holding large amounts of cryptocurrency and may significantly impact future Bitcoin financial strategies.
