Strive aims to get $8 billion worth Bitcoin before going public in New York. | Credit: David Dee Delgado/Getty Images
Share
Key Takeaways
Strive plans to acquire claims tied to 75,000 BTC from defunct crypto exchange Mt. Gox.
The move could allow Strive to buy Bitcoin at a discount and improve its Bitcoin-per-share ratio.
Strive is preparing to go public via a reverse merger with Asset Entities.
As competition heats up among institutions seeking Bitcoin exposure, Strive, founded by entrepreneur and former U.S. presidential candidate Vivek Ramaswamy, is moving forward with plans to acquire a significant reserve of Bitcoin.
The investment firm disclosed in regulatory filings that it intends to purchase claims tied to 75,000 BTC from Mt. Gox, the infamous crypto exchange that collapsed in 2014.
The claims, which have already been legally recognized but not yet paid out, could give Strive access to Bitcoin at a discount ahead of its planned public market debut.
To facilitate the deal, Strive has partnered with 117 Castell Advisory Group and filed paperwork with the Securities and Exchange Commission (SEC).
Shareholder approval is required before the transaction can move ahead. The company said it will issue a proxy statement detailing the terms of the acquisition in the coming weeks.
Strive’s effort to secure discounted Bitcoin is part of a broader strategy to enhance its Bitcoin-per-share ratio.
The move also comes as the firm readies for a reverse merger with Texas-based Asset Entities, a social media marketing company currently trading under the ticker ASST.
If successful, the merger will give Strive a public listing on the New York Stock Exchange. Following the transaction, Strive will hold a 94% stake in the combined entity, while Asset Entities retains 5.8%.
Mt. Gox Repayments Set for October
Strive is on a tight timeline to gain shareholder approval, as creditor repayments from Mt. Gox will start by Oct. 31.
Once the largest Bitcoin exchange in the world, Mt. Gox lost an estimated 750,000 BTC in a 2014 security breach.
The fallout triggered years of legal wrangling and repayment delays, with approved creditors now set to receive partial compensation more than a decade later.
Stock Jumps on Bitcoin Reserve News
Following Strive’s announcement, shares of Asset Entities surged 18% to $7.74, reflecting investor enthusiasm for the Bitcoin reserve strategy.
The merged company will retain both brand names and continue to trade under the ASST ticker.
ASST stock increased by double digits after Strive’s BTC reserve news. | Credit: Yahoo! Finance
Giuseppe Ciccomascolo began his career as an investigative journalist in Italy, where he contributed to both local and national newspapers, focusing on various financial sectors.
Upon relocating to London, he worked as an analyst for Fitch's CapitalStructure and later as a Senior Reporter for Alliance News. In 2017, Giuseppe transitioned to covering cryptocurrency-related news, producing documentaries and articles on Bitcoin and other emerging digital currencies. He also played a pivotal role in establishing the academy for a cryptocurrency exchange website. Crypto remained his primary area of interest throughout his tenure as a writer for ThirdFloor.
