Bitcoin Treasury Firm Strive Announces $500M Capital Raise for BTC Purchases

$500 million capital raise — Bitcoin treasury company Strive (ASST) announced plans to raise $500 million through a new class of perpetual preferred stock, with proceeds earmarked for purchasing additional bitcoin.

The firm intends to sell 5 million shares of its new “SATS” stock at $100 per share. The new shares will offer a fixed 15% dividend yield, paid daily, and will be junior to the company’s existing “SATA” perpetual preferred stock, which currently pays a variable 13% rate.

Strive stated the capital will be used to acquire more bitcoin, purchase other income-producing assets, or fund stock buybacks. At the closing of the offering, the company will set aside sufficient cash to cover 18 months of dividends for the new SATS shares.

The move highlights the continued strategy among some publicly traded firms to leverage equity markets to increase their bitcoin holdings, a trend popularized by companies like MicroStrategy.