Strive Asset Management, co-founded by Vivek Ramaswamy, plans to merge with Asset Entities to establish a publicly traded Bitcoin asset management company. In addition to leveraging its community management advantages on Discord and other online platforms, Asset Entities plans to issue $1 billion in equity and bonds to establish a large-scale Bitcoin Treasury, and through the tax-free mechanism of Section 351 of the US tax law, allow investors to exchange Bitcoin for company stocks. After the announcement, ASST surged 455% to $3.39.
Table of Contents
ToggleStrive Asset Management Founded by Vivek Ramaswamy
Strive Asset Management is an asset management company established in 2022, headquartered in Ohio, USA. Its parent company, Strive Enterprises, Inc., was co-founded by Vivek Ramaswamy and Anson Frericks.
According to Morningstar, Strive currently manages 13 funds with a total asset management scale of approximately $1.97 billion, and their fund fees are relatively low, demonstrating their commitment to maximizing investor returns.
Last year, Strive submitted an application to the US Securities and Exchange Commission (SEC) for a Strive Bitcoin Bond ETF, which would track convertible bonds issued for purchasing Bitcoin, essentially a MicroStrategy convertible bond ETF. However, it appears that it has not yet been successfully listed.
After the merger, its parent company Strive Enterprises, Inc. will continue to operate as a private holding company and expand its wealth management business. Before considering Bitcoin stock exchange and any additional financing, Strive Enterprises will own approximately 94.2% of the listed company's shares, while the original shareholders of Asset Entities will own the remaining 5.8% of shares. Financing will proportionally dilute the equity of Strive Enterprises and Asset Entities shareholders.
Merging ASST, Utilizing Existing Digital Marketing Model to Operate Community
Digital marketing and content delivery service provider Asset Entities Inc. (stock code: ASST) announced that it has reached a final merger agreement with Strive Asset Management. The merged company will operate under the Strive brand, continue to be listed on Nasdaq, and become a publicly traded Bitcoin Treasury strategy company.
Asset Entities' existing Discord and other online platforms can also provide community management advantages, uniquely promoting education, engagement, and adoption of a Bitcoin-centered financial model.
Raising $1 Billion to Buy BTC, Allowing Investors to Directly Exchange BTC for Stocks with Tax-Saving Function
Asset Entities plans to issue $1 billion in equity and bonds to establish a large-scale Bitcoin Treasury and, through the tax-free mechanism of Section 351 of the US tax law, allow investors to exchange Bitcoin for company stocks.
Strive CEO Matt Cole stated at the Strategy World Conference:
We all know Bitcoin is about to go to the moon. This means that the large gains owned by OG Bitcoin holders must pay tax revenues to the IRS. We can do this in a tax-free manner after this merger is completed.
In US tax law, digital assets are considered property, and their income is taxable. This includes receiving digital assets or selling and disposing of digital asset ownership, which must be reported to the IRS annually, regardless of whether taxable gains or losses are generated. According to previous reports, an early Bitcoin investor was convicted of tax fraud for not reporting Bitcoin capital gains, sentenced to two years in prison, and ordered to disclose his private key so US officials could unlock Bitcoin currently valued at approximately $124 million.
ASST Surges 455%
The merged company will operate under the Strive brand and continue to be listed on Nasdaq with the ASST stock code. After the announcement, ASST surged 455% to $3.39.
Risk Warning
Cryptocurrency investment carries high risk, and its price may fluctuate dramatically. You may lose all your principal. Please carefully assess the risks.
