📰 CRYPTO NEWS
Strive, the asset management firm co-founded by Vivek Ramaswamy, announced that it plans to raise $500 million to buy more Bitcoin by issuing a new class of preferred shares called SATS. These new shares will offer a fixed annual dividend of 15% and will rank below the existing SATA class, which currently pays a variable rate of 13%. In other words, Strive is building a layered financial structure to attract institutional capital with different risk profiles, all with the goal of accumulating more BTC on its balance sheet. The strategy brings to mind the model popularized by MicroStrategy, which uses debt or financial instruments to aggressively finance Bitcoin purchases. It’s worth asking whether this trend of companies using complex financial vehicles to accumulate Bitcoin could put sustained upward pressure on the price—or whether, at some point, the market will punish all this leverage on such a volatile asset.
What do you think? Let me know in the comments 👇
Strive, the asset management firm co-founded by Vivek Ramaswamy, announced that it plans to raise $500 million to buy more Bitcoin by issuing a new class of preferred shares called SATS. These new shares will offer a fixed annual dividend of 15% and will rank below the existing SATA class, which currently pays a variable rate of 13%. In other words, Strive is building a layered financial structure to attract institutional capital with different risk profiles, all with the goal of accumulating more BTC on its balance sheet. The strategy brings to mind the model popularized by MicroStrategy, which uses debt or financial instruments to aggressively finance Bitcoin purchases. It’s worth asking whether this trend of companies using complex financial vehicles to accumulate Bitcoin could put sustained upward pressure on the price—or whether, at some point, the market will punish all this leverage on such a volatile asset.
What do you think? Let me know in the comments 👇