This capital raise, which totaled nearly $160 million, represents a powerful institutional affirmation of the corporate treasury strategy surrounding Bitcoin.
Strive, Inc. (Nasdaq: ASST; SATA), a publicly traded company focused on long-term Bitcoin accumulation, announced the successful closing of an oversubscribed and upsized Initial Public Offering (IPO) of its Variable Rate Series A Perpetual Preferred Stock (SATA Stock).
Confidence despite market downturn
The most compelling aspect of the offering was the robust investor demand that forced Strive to increase the IPO size. The offering was initially targeted at 1.25 million shares but was significantly upsized to 2 million shares at $80 per share.
As reported by Investing News Network, the successful closing came immediately after a severe market correction where Bitcoin briefly dipped below the $100,000 mark for the first time in months. The high investor appetite, therefore, signals that institutional conviction in Bitcoin’s long-term value proposition is unaffected by short-term price volatility.
The capital raised is specifically designed to create a Bitcoin amplification toggle. This mechanism allows the company to use non-dilutive financing (preferred equity) to significantly increase its existing Bitcoin treasury holdings (which stood at 7,525 BTC as of the announcement date). The goal is to accrete value to its common equity shareholders (ASST) by leveraging the capital to purchase more BTC.
Institutional and market significance
The successful IPO of the SATA preferred stock provides Strive with a dedicated capital pool for strategic acquisitions, positioning it to capitalize on market dips to further expand its treasury.
The upsized and oversubscribed nature of the offering confirms that traditional financial markets are providing deep, dedicated liquidity channels for companies with a clear, Bitcoin-centric corporate treasury strategy. This model, pioneered by companies like Strategy (formerly MicroStrategy), is now being refined by others to attract both equity and fixed-income investors.
The use of preferred stock to fund Bitcoin purchases offers a template for other public companies seeking exposure to the asset without diluting common equity shareholders. It provides a fixed-income-like security (the preferred stock) to conservative investors while channeling the proceeds into a growth-oriented asset (Bitcoin).