In This Article
Strive Asset Management has made headlines with a $750 million private raise to support what it calls an "alpha-generating" Bitcoin treasury strategy. With warrants that could potentially take the total raise to $1.5 billion, Strive is emerging as a formidable new player in the corporate Bitcoin treasury space — one that's not just going to hold BTC, but try to beat it.
Within Strive's Alpha-Generating Strategy
Unlike most corporate Bitcoin treasury strategies, which merely involve the buying and holding of BTC as a reserve asset, Strive CEO Matt Cole has outlined a more complex, multi-dimensional strategy. The company's strategy includes:
- Strive will buy firms trading below their net cash value, freeing up discounted cash to be redeployed into Bitcoin.
- In partnership with 117 Partners LLC, Strive is targeting Mt. Gox exchange claims with the mission to buy up to 75,000 BTC at deep discounts to spot prices.
- The firm will be buying the lowest tranches of structured BTC credit vehicles, contributing to yield potential.
Cole discusses that such "alpha-generating" strategies require a new paradigm of valuation, as they are designed to deliver returns above and beyond Bitcoin's performance itself — an ambition that sets Strive apart from incumbents.
Who's Behind Strive?
The $750 million was raised through a private investment in public equity (PIPE) round by leading institutional investors and Strive's management. The deal was priced at a 121% premium to Asset Entities' (ASST) pre-merger announcement closing price, and, noteworthy, it has no debt financing—preserving future leverage ability.
Cantor Fitzgerald & Co. acted as sole placement agent and financial advisor, and legal counsel was provided by Davis Polk, DLA Piper, and Bevilacqua PLLC.
Strive vs. MicroStrategy and Tesla: A New Model Emerges
| Company | BTC Treasury Strategy | BTC Holdings (approx.) | Key Differentiator |
|---|---|---|---|
| Strive | Alpha-driven, discounted acquisitions | Target: up to 75,000+ | Outperformance focus and novel assets |
| MicroStrategy | Buy and hold, leverage, equity raises | 568,840 | Largest holder and “infinite money glitch” |
| Tesla | Buy and hold, smaller allocation | ~10,500 | Diversification and less aggressive |
While MicroStrategy (recently renamed simply "Strategy") has become the name most synonymous with corporate Bitcoin accumulation—having invested over $39 billion to amass 568,840 BTC — its strategy has been largely one of leveraged beta to Bitcoin's price. Tesla, meanwhile, holds a smaller, diversified position.
Strive's approach is quite different: by acquiring distressed and discounted assets, it hopes to gain exposure to Bitcoin at below market value, with the intention of beating BTC's own performance. Were it to be successful, it would place Strive near the top of corporate Bitcoin holders, alongside or even ahead of the likes of MicroStrategy and Tesla in both ambition and strategy.
Expert Commentary: Market Impact and Risks
Treasury management experts note that Strive's strategy is ushering in a new era of institutional crypto adoption. By integrating traditional corporate finance approaches with innovative crypto asset transactions, Strive could be setting an example for the future of treasury management. As quoted by one treasury consultant:
"Strive's willingness to purchase discounted and distressed Bitcoin holdings represents a shift from passive hodling to active yield generation. If they execute it correctly, it could redefine how digital asset reserves are managed by corporations."
However, experts also caution that these approaches are not without unique risks — legal, operational, and market. The success of buying Mt. Gox claims, for example, is dependent on regulatory approval and creditor repayment timing. In addition, while institutional demand for crypto is increasing, volatility and regulatory uncertainty remain acute concerns.
Potential Market Impact
Strive’s aggressive accumulation and innovative strategies could:
- Increase competition for discounted BTC assets, especially as more companies seek to emulate this model.
- Add upward pressure to Bitcoin prices if large claims are settled and converted to spot BTC.
- Spur further institutional adoption, as treasury teams look for ways to generate yield and hedge against fiat currency risks
The bottom line
Strive’s $750 million raise marks a bold new chapter in corporate Bitcoin treasury management. By seeking alpha through discounted and distressed crypto assets, the firm is not just joining the ranks of institutional BTC holders — it’s aiming to set the pace.
As the market watches Strive’s next moves, the outcome could reshape both treasury management and the broader landscape of institutional crypto adoption
