Strive Set to Buy Bitcoin at a Discount
In a filing submitted to the U.S. Securities and Exchange Commission (SEC) on May 20, Strive revealed its partnership with 117 Castell Advisory Group LLC to acquire legally recognized Bitcoin claims that are still awaiting distribution from Mt. Gox.
The firm stated that owning these claims would allow it to obtain Bitcoin at a discounted rate, helping to build its BTC treasury. This move is expected to boost its Bitcoin-per-share ratio ahead of its planned reverse merger with Asset Entities, which is projected to close by mid-year.
Strive still requires shareholder approval to proceed with the deal and plans to file a complete proposal with the SEC, outlining all transaction terms. A proxy statement will then be issued to gather formal shareholder consent.
As Mt. Gox intends to fully repay its creditors by October 31, Strive must secure shareholder approval before that deadline. Asset Entities (ticker: ASST) — a social media marketing company set to merge with Strive and form a Bitcoin-focused investment firm — saw its share price surge 18.2% on May 20. Since the merger announcement, the company’s stock has skyrocketed 1,170%, pushing its market capitalization to $122.1 million.
Corporations Race to Build Bitcoin Reserves
In recent weeks, a growing number of major firms have unveiled plans to build Bitcoin reserves in response to global economic uncertainty. The demand for BTC surged further after Moody’s downgraded the U.S. credit rating, citing rising debt concerns.
Last week, two Nasdaq-listed companies made similar announcements regarding large-scale Bitcoin acquisitions. Basel Medical Group Ltd (Nasdaq: BMGL) disclosed that it is in exclusive negotiations to acquire $1 billion worth of BTC — a major strategic pivot.
Meanwhile, Singapore-based DigiAsia announced an initial plan to purchase $100 million in Bitcoin. The company has pledged to allocate up to 50% of its future net profits to acquiring more BTC. DigiAsia also outlined various strategies to generate returns from its Bitcoin holdings, including lending, staking, and developing crypto-linked financial products.
