Strive, an asset management firm co-founded by Donald Trump’s DOGE appointee Vivek Ramaswamy, has taken a significant step in the cryptocurrency investment landscape by filing with the SEC to launch a Bitcoin Bond ETF.
The SEC’s recent approval of spot Bitcoin and Ethereum ETFs has brightened the horizon for various funds targeting crypto exposure. Strive’s new filing represents one of many innovative financial products aimed at investors eager to tap into the burgeoning cryptocurrency market.
The Strive Bitcoin Bond ETF
The proposed Strive Bitcoin Bond ETF intends to provide investors with a unique opportunity to invest in convertible securities from companies utilizing the proceeds to acquire Bitcoin. Convertible notes, essentially loan agreements, allow companies to raise funds while offering investors the potential to convert loans into equity at a predetermined date and price.
Strive has indicated that if approved, the primary investment of this fund will likely involve MicroStrategy’s convertible notes, given the company’s aggressive Bitcoin treasury strategy, which aims to raise $42 billion over the next three years for Bitcoin purchases.
Additional Offerings in the Market
Strive is not alone in pursuing investor access to Bitcoin-related funds; Bitwise has also submitted a filing for a Bitwise Bitcoin Standard Corporations ETF. This fund will target corporations with significant Bitcoin treasury holdings, investing in firms that possess at least 1,000 BTC and meet certain market capitalization and liquidity criteria.
Commenting on the trend, Bloomberg Senior ETF analyst Eric Balchunas noted that the Bitwise filing aligns with the crypto community’s interests, though it remains uncertain if this demand will convert into tangible market interest.
The momentum around Bitcoin treasury strategies is growing, especially following MicroStrategy’s notable success. Recently, KULR Technology announced plans to invest a considerable portion of its surplus cash into cryptocurrency, resulting in a 300% spike in its share price since the initial public announcement.
