Strive Secures Bitcoin Purchases for 9 Consecutive Trading Days via SATA
Strive has secured funding for Bitcoin (BTC) purchases for nine consecutive trading days through its preferred stock, SATA. After acquiring an additional 1,800 BTC at the end of August, it announced on the 2nd that SATA had secured funds to purchase 104 BTC. In an 8-K document submitted to the SEC on August 31, Strive reported that it purchased 1,800 BTC at an average price of $79,431 between August 24 and 28. As a result, its BTC holdings increased from 21,356 BTC to 23,156 BTC. Cash and cash equivalents rose from $171.9 million to $183.5 million. The number of Class A common shares and SATA shares increased by 3,579,147 and 803,099, respectively. SATA trades alongside common stock ASST on NASDAQ and utilizes its preferred stock structure to fund BTC purchases through dividends and residual asset distributions. Strive announced that it will pay SATA dividends on every business day starting June 16, maintaining an annual dividend rate of 13.00%. However, this method is affected by access to capital markets, and if the stock price premium decreases, the dilution burden from issuing new shares may increase. Strive recorded a net loss of $257.6 million in its second-quarter results, of which $234 million was related to the decline in fair value of its BTC and STRC preferred stock holdings.
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