Asset Entities' stock skyrocketed by over 200% following its announced merger with Strive Asset Management. The newly formed entity, which will retain the Strive name and its listing on NASDAQ, aims to become the first publicly traded asset manager focused on maximizing long-term Bitcoin (BTC) exposure per share.
The company intends to accumulate Bitcoin aggressively using a multi-pronged approach, such as allowing accredited investors to exchange BTC for equity—potentially tax-free under Section 351 of the U.S. tax code. Additionally, the strategy involves acquiring undervalued public companies with cash reserves and implementing fixed-income and derivatives tactics to manage risk while continuing to grow Bitcoin holdings.
Strive Asset Management, already managing about $2 billion, is recognized for its activist approach promoting financial freedom and opposing ESG mandates. With the reverse merger, the combined entity gains immediate access to a shelf registration statement, which will expand up to $1 billion to fund future Bitcoin purchases. CEO Matt Cole, with a $70 billion fixed-income management background, leads a seasoned management team with crypto and legal expertise. The overall mission is to outperform Bitcoin as an asset class and drive further adoption, positioning Strive as a corporate leader in Bitcoin advocacy.