By Key Points
- Strive launches its Bitcoin Bond ETF targeting companies like MicroStrategy.
- Focus on convertible bonds used to fund Bitcoin purchases.
- Corporate Bitcoin holdings now total $56 billion worldwide.
- This move cements Bitcoin’s rise as a key corporate asset.
Strive Asset Management, led by billionaire Vivek Ramaswamy, has entered the growing corporate Bitcoin space with its latest product: the Strive Bitcoin Bond ETF.
A December 26 filing revealed the ETF’s focus on convertible bonds from companies that heavily invest in Bitcoin, including MicroStrategy, the pioneer of corporate Bitcoin treasury strategies.
The ETF will primarily invest in “Bitcoin Bonds,” a type of convertible security specifically used to acquire Bitcoin. This actively managed fund may also leverage derivatives like swaps and options to enhance its performance.
With global corporate Bitcoin holdings reaching $56 billion, the ETF is poised to capitalize on this expanding market.
JUST IN: Vivek Ramaswamy’s Strive Asset Management files for a Bitcoin Bond ETF designed to give exposure to growing convertible bond market for companies with Bitcoin treasuries pic.twitter.com/xnSYIo9Z0g
— Swan (@Swan) December 26, 2024
MicroStrategy: The Blueprint for Corporate Bitcoin
MicroStrategy stands out as the first company to incorporate Bitcoin as a central treasury asset. Since 2020, the firm has deployed $27 billion into Bitcoin, making headlines and inspiring other corporations to follow suit.
Its bold strategy, which combines equity offerings and convertible bonds, has had a transformative impact on the company’s valuation.
MicroStrategy’s approach has redefined how corporate treasuries view Bitcoin, paving the way for innovative investment products like Strive’s Bitcoin Bond ETF.
Bitcoin ETFs: The Next Big Investment Trend
Strive’s ETF isn’t the only product riding the wave of corporate Bitcoin adoption. Bitwise Asset Management has also filed for the Bitcoin Standard Corporations ETF, which will focus on companies holding at least 1,000 Bitcoin in their reserves.
Eligibility requirements for the Bitwise ETF include:
- At least 1,000 Bitcoin in corporate holdings.
- A minimum market cap of $100 million.
- Daily trading liquidity of $1 million or more.
This trend signals a growing acceptance of Bitcoin as a mainstream asset class. With pro-crypto regulatory sentiment gaining traction, especially under potentially supportive political leadership, Bitcoin-related ETFs are likely to see faster approvals and broader market adoption.
Strive’s Bitcoin Bond ETF is a calculated move that underscores Bitcoin’s transition from speculative investment to a cornerstone of corporate strategy.
As institutional adoption accelerates, products like this ETF are setting the stage for Bitcoin’s integration into traditional financial markets.
