Strive's SATA achieves face value, accelerates Bitcoin acquisition strategy

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Bitcoin asset management firm Strive’s perpetual preferred stock SATA (Strive Bitcoin Treasury Preferred Stock A) has reached a par value of $100 per share for the first time, drawing market attention. This milestone opens the door for the company to raise additional funds through public issuance channels (ATM, market issuance). Amid a strong market environment for Bitcoin, Strive is positioned to actively leverage this momentum to further expand its holdings.

Par Value Surpasses $100, Opening Funding Channels

SATA offers an annual dividend rate of 12%, with an effective yield of 12.2%. This makes it an attractive product that guarantees a stable income stream for investors. Trading at the par value indicates that the market recognizes the company’s financial health, making future equity offerings for fundraising more accessible.

Extensive Bitcoin Holdings and Profitability Structure

Strive currently holds 12,797 Bitcoin on its balance sheet, with common stock trading at $0.94. This demonstrates that the company has built a substantial digital asset portfolio, and SATA’s stable dividends are based on these Bitcoin holdings. The company’s dual stock structure clearly delineates roles between common and preferred shares, enabling diversification of its investor base.

Spread of Similar Strategies in the Industry

The structural similarity between Strive and Strategy, a Bitcoin reserve company that launched STRC (Stretch), suggests this model is becoming standardized within the industry. Strategy’s STRC reached par value earlier this month, with last week’s trading volume hitting $755 million, of which $582 million traded above par, setting a record for single-share prices. This strong market demand reflects growing investor confidence in Bitcoin asset holdings and revenue-generating models.

The par value achievement of Strive and Strategy signifies more than just stock price movement; it indicates an enhancement in the capital-raising capabilities of Bitcoin reserve companies. The acceleration of Bitcoin accumulation through these mechanisms is expected to have a significant impact on the market going forward.

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