Strive's Big Bitcoin Bet: A Closer Look

Strive, a financial firm launched in 2022, is aiming to gather up to $150 million by selling special shares called Variable Rate Series A Perpetual Preferred Stock, labeled SATA. This money will be used to pay off some of its debts and buy more Bitcoin. The company has a subsidiary called Semler Scientific, which has some debts that Strive wants to pay down. This includes buying back part of Semler’s 4. 25% convertible senior notes due in 2030 and paying off loans from Coinbase Credit. By doing this, Strive hopes to make its financial structure simpler and focus on a model that uses only perpetual-preferred shares. Strive also plans to talk to some holders of Semler’s convertible notes about swapping their debt for SATA preferred shares. This won’t bring in new money but will reduce the amount of shares Strive needs to sell to the public. The SATA preferred stock comes with a starting annual dividend rate of 12. 25%, paid monthly in cash. The rate can change based on market conditions and short-term interest rates. These shares are meant to last forever but can be bought back by Strive at $110 per share plus any unpaid dividends.Barclays and Cantor Fitzgerald are helping manage the sale of these shares, with Clear Street as a co-manager. Earlier in January, Strive announced it would buy Semler Scientific in an all-stock deal. This acquisition will add Semler’s 5, 048. 1 Bitcoin to Strive’s existing holdings, bringing the total to 12, 797. 9 BTC. Strive has been busy raising funds for Bitcoin-related purchases. In May 2025, it raised $750 million for “alpha-generating” strategies, and in December, it announced a $500 million stock sales program to buy more Bitcoin. However, the road ahead for crypto treasury firms like Strive is not smooth. Industry experts warn that many companies formed during Bitcoin’s price surge may struggle to survive. Falling crypto prices and declining share values could put pressure on these businesses, especially those focused on altcoins and large-cap strategies like Ethereum, Solana, and XRP.