Strive Strengthens Commitment to Bitcoin with $500 Million Offering Amid 18% Portfolio Slide

Strive, a firm focusing on Bitcoin treasury management, has announced a $500 million at-the-market offering aimed at various corporate needs, including the acquisition of Bitcoin (BTC). This announcement coincides with the firm's significant unrealized loss of nearly 18% on its current Bitcoin holdings, attributed to the ongoing downturn in the cryptocurrency market.

Key Takeaways

Strive is initiating a $500 million offering to enhance its Bitcoin and related asset portfolio.
The firm faces an 18% unrealized loss on its existing Bitcoin holdings.
Strive has been actively purchasing Bitcoin in 2025, now holding 7,525 BTC.
The broader digital asset sector is experiencing financial pressures, reflected in unrealized losses across various firms.
Upcoming MSCI proposals could impact companies with major cryptocurrency assets significantly.

Strive’s Focus on Increasing Bitcoin Holdings

In a recent press release, Vivek Ramaswamy's company, Strive, announced a sales agreement that allows it to issue and sell up to $500 million worth of its Variable Rate Series A Perpetual Preferred Stock (known as SATA Stock) through an at-the-market offering. The funds are intended for general corporate purposes, particularly for acquiring Bitcoin and Bitcoin-related assets, as well as providing working capital, facilitating income-generating asset purchases, enabling potential share buybacks, and repaying debts.

“The SATA Stock, as specified by the terms of the sales agreement, can be sold by the sales agents using any method classified as an 'at-the-market offering' according to Rule 415(a)(4) under the Securities Act of 1933, alongside any other law-permitted methods,” the press release stated.

Strive’s Bitcoin Strategy Tracker indicates that the firm has made three separate Bitcoin acquisitions this year. The firm bought 5,816 BTC in early September, followed by an additional 72 BTC in late October and 1,567 BTC in early November. In total, Strive owns 7,525 BTC, positioning it as the 14th largest public holder of Bitcoin, with an average acquisition cost of $113,383 per BTC.

As per the latest available figures, Strive's Bitcoin holdings amount to approximately $699.81 million, reflecting an unrealized loss of around 18%, which equals about $153 million.

![Strive's Bitcoin Portfolio](source: Strive)

Digital Asset Treasury Firms Face Challenges

Strive isn't alone in its challenges. Data from Bitcoin Treasuries highlights that other firms like Metaplanet, GD Culture Group, and Remixpoint are also experiencing unrealized losses because of Bitcoin's market fluctuations.

Bitcoin faced notable challenges in October, with its downtrend continuing into November. During this period, BTC's price dropped below the $100,000 mark and has struggled to regain that level.

![Bitcoin (BTC) Price Performance](source: BeInCrypto Markets)

Despite this, a modest recovery has been recorded over the past 24 hours, with Bitcoin trading at $92,377 at the time of writing, reflecting a 2.42% increase.

In addition to the volatility in the cryptocurrency market, digital asset treasury firms now confront structural challenges from index providers. MSCI has suggested that companies whose digital asset holdings account for over 50% of their total assets should be reclassified as “funds.” Such a change could lead to their exclusion from MSCI benchmarks, significantly impacting these firms. If this were to occur, it could trigger substantial outflows from passive index funds.

Last week, Strive submitted a seven-page letter to the chairman of MSCI, urging reconsideration of this proposal. The letter argued, “Index providers do not exclude energy companies whose oil reserves dominate their balance sheets, nor do they exclude gold miners whose values rely predominantly on the metal they extract, or financial firms with large holdings of securities and derivatives... Implementing a special exclusion for digital assets would break from this tradition without a regulatory or economic basis.”

The decision by MSCI will be announced on January 15, 2026, and is expected to clarify how traditional financial markets will treat companies holding significant cryptocurrency treasuries, potentially influencing the future dynamics of the Bitcoin treasury business model.