On April 27, Strive added a new purchase of over $61 million to its Bitcoin treasury. The relocation is indicative of the further accumulation strategy of Strive as institutional activity is on the rise, and ETF inflows are an indication of long-term demand throughout the market.
Strive Asset Management announced the purchase of 789 BTC worth approximately 61.43 million. The purchase price is $77,890 per coin. On Monday, CEO Matt Cole announced the update on X. The company is still devoted to a long-term buy and hold strategy, he said.
Also Read: Strategy Buys 3,273 BTC as Bitcoin Holdings Surge Past 818K
Strive Holdings Rise as SATA Funding Expands
The most recent acquisition brought the total holdings to 14,557 BTC. The portfolio is worth close to $1.3 billion according to the current price levels. On-chain data ranks the company as the ninth-largest corporate holder. It has now surpassed Hut 8 and is second only to Coinbase.
Strive still finances a portion of its strategy with its Variable Rate Series A Perpetual Preferred Stock which is referred to as “SATA.” The instrument is aimed at a strike price of between 99 and 100. It also has a variable monthly dividend, which increases with time.
The company raised about $160 million during its first SATA sale. It subsequently increased the raise to 225 million by engaging in an upsizing. The company also reduced the trading spread. It raised the dividend yield to 12.75% to attract more capital.
The institutional demand on Bitcoin is high. According to SosoValue data, U.S. spot Bitcoin ETFs registered net inflows of $824 million in the week of April 2024. This was the fourth consecutive week of increase.
ETF Inflows Surge as Strive Expands Bitcoin Strategy
The iShares Bitcoin Trust of BlackRock was the largest inflow at $733 million. The influx propelled the total ETF assets to over $102 billion. The April inflows have been greater than $2.6 billion monthly, which demonstrates the stabilized investor involvement.
Strive is also collaborating with Tuttle Capital Management over a new exchange-traded fund. The product will follow the stock of SATA and Strategy STRC. The strategy will increase the availability of its financial products and treasury model.
Earlier deals helped build the current Bitcoin position. The company issued 5,886 BTC in PIPE investment. It also purchased 5,048 BTC in the Semler Scientific deal last year.
Bitcoin is trading around $76,703 at the time of writing. The asset has fallen by 1.7% in the last 24 hours. As per CoinMarketCap data, its market capitalization stands over $1.53 trillion.
Also Read: Bitcoin (BTC) Rejected at $80K: $1.35B Sell-Off Sparks Sudden Reversal
