Strive Seeks $500M for Bitcoin Purchases With 15% SATS Dividend
Strive (ASST) plans to raise $500 million by selling five million shares of its new perpetual preferred stock, SATS, at $100 each. The shares will pay a fixed 15% dividend daily and rank below Strive’s existing SATA preferred stock, whose floating rate is currently 13%. Strive plans to reserve enough cash to cover 18 months of SATS dividends. Proceeds could fund more Bitcoin purchases, income-generating assets or share buybacks. The company recently added 3,311 BTC, bringing its holdings to 32,773 BTC, worth about $2.7 billion at the time of publication. The financing may support further Bitcoin accumulation, though the high dividend cost is a key consideration.
Neutral
The financing could indirectly support Bitcoin demand if Strive uses some of the proceeds for BTC purchases, and its existing holdings show that the company is actively accumulating. However, the announcement does not confirm how much of the $500 million will go to Bitcoin; proceeds may also fund income-generating assets or share buybacks. The 15% dividend and 18-month reserve requirement also create significant funding costs. In the short term, the news is unlikely to drive BTC prices on its own, though traders may watch for disclosures about actual purchases. Over the longer term, further treasury buying could add incremental demand, but the impact would depend on the scale and timing of purchases relative to Bitcoin’s overall market liquidity.