Strive Asset Management, founded by former presidential candidate and current Ohio gubernatorial hopeful Vivek Ramaswamy, announced plans to create the first publicly traded Bitcoin treasury company through a reverse merger with Asset Entities, a Nasdaq-listed digital marketing firm. The deal, announced on May 7, sent Bitcoin prices climbing $99,682Â as investors responded positively to yet another institutional player entering the cryptocurrency market.
Strategic Merger and Bitcoin Acquisition Plans
The newly formed entity will operate under the Strive brand and focus primarily on managing a Bitcoin reserve. According to the joint announcement, Asset Entities has agreed to merge with Strive Asset Management to become the first publicly listed Bitcoin treasury company.
“We are thrilled to be joining forces with Strive Asset Management to help pioneer the future of corporate Bitcoin treasury strategies,” said Arshia Sarkhani, President and CEO of Asset Entities.
JUST IN: 🇺🇸 Vivek Ramaswamy’s Strive Asset Management to form the first publicly traded asset management #Bitcoin treasury company.
They plan to raise $1 billion to buy BTC 🙌 pic.twitter.com/wPuUAXtGD0
— Bitcoin Magazine (@BitcoinMagazine) May 7, 2025
Following the completion of the deal, Strive intends to raise approximately $1 billion through a combination of equity and debt offerings to purchase Bitcoin. The company aims to create what it describes as a Bitcoin “war chest” and implement a long-term investment strategy designed to outperform Bitcoin itself.
Innovative Tax Structure for Bitcoin Holders
In an innovative approach to accumulating Bitcoin, the company plans to offer a potentially tax-efficient path for current BTC holders. The offering will allow cryptocurrency owners to contribute their Bitcoin in exchange for shares of the public company’s stock.
This exchange is intended to be tax-free, structured under Section 351 of the US tax code, which permits the transfer of assets to a corporation in return for shares of its stock. This strategy could potentially appeal to Bitcoin holders looking for more traditional equity exposure while maintaining their investment thesis in digital assets.
Ownership Structure and Management
Under the terms of the merger, Strive Enterprises is expected to hold approximately 94.2% of the joint company ownership, while the legacy shareholders of Asset Entities will retain the remaining 5.8%. This ownership structure will be established before Strive begins implementing its Bitcoin acquisition strategy.
Strive Asset Management, a subsidiary of Strive Enterprises, was co-founded by Ramaswamy in 2022 and has since grown to manage $2 billion in assets. The firm currently offers multiple investment funds and has shown increasing interest in Bitcoin-related financial products.
Ramaswamy resigned as Executive Chairman of Strive in 2023 after announcing his candidacy for President of the United States. Following his resignation, Strive appointed Matt Cole as CEO to lead the company. After ending his presidential bid, Ramaswamy endorsed Donald Trump, who subsequently appointed him to co-lead the Department of Government Efficiency (DOGE) alongside Tesla CEO Elon Musk.
Growing Trend of Corporate Bitcoin Treasuries
Strive’s move adds to the expanding list of U.S. companies integrating Bitcoin into their treasury strategies. According to BitcoinTreasuries.net, public companies collectively hold over $74 billion in BTC as of May 7.
Companies like Strategy (formerly MicroStrategy) have seen their share prices soar by over 350% in 2024, fueled in part by Bitcoin’s institutional adoption and spot ETF inflows. Analysts from Fidelity Digital Assets describe corporate BTC holdings as a hedge against inflation, debt monetization, and geopolitical risks, and expect more companies to follow this trend.
Market Impact and Bitcoin Price Response
The announcement had an immediate positive effect on Bitcoin prices. Bitcoin rose approximately 2% following the news, pushing the price above $97,000. As of the latest trading data, Bitcoin is trading at $99,633.77, up 2.67% over the past 24 hours.
The Road Ahead
The merger remains subject to regulatory approval and customary closing conditions before being fully carried out. Once operational, Strive’s ambitious plan to accumulate $1 billion in Bitcoin would position it among the most significant corporate Bitcoin holders in the market.
Additionally, the company plans to introduce a structure allowing Bitcoin holders to contribute BTC in exchange for Strive’s public stock, thereby potentially attracting crypto-native investors seeking exposure to equity markets.
In December 2024, Strive also filed to launch an ETF focused on convertible bonds issued by corporate Bitcoin holders like MicroStrategy, indicating a broader strategy to build financial products around the growing corporate Bitcoin treasury trend.
The move represents another significant step in the mainstreaming of Bitcoin as a corporate treasury asset and highlights the growing acceptance of cryptocurrency among traditional financial institutions and investors.
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