Trump-linked Strive files for ‘Bitcoin Bond’ ETF

Strive, an asset supervisor based by Vivek Ramaswamy, requested United States regulators for permission to listing an exchange-traded fund (ETF) investing in convertible bonds issued by MicroStrategy and different company Bitcoin patrons, in line with a Dec. 26 submitting. 

The ETF seeks to supply publicity to “Bitcoin Bonds,” described as “convertible securities issued by MicroStrategy” or by different corporations that plan to “invest all or a significant portion of the proceeds to purchase Bitcoin,” in line with the submitting. 

The Strive Bitcoin Bond ETF will probably be actively managed and can achieve publicity to Bitcoin bonds both straight or by means of monetary derivatives corresponding to swaps and choices, Strive stated.

Strive has not but specified the administration charges buyers will probably be charged, however actively managed funds sometimes cost greater than passive index funds.

Bitcoin bonds

Beginning in 2020, MicroStrategy has spent about $27 billion shopping for Bitcoin (BTC) as a part of a company treasury technique spearheaded by co-founder Michael Saylor.

Its inventory, MSTR, has since gained greater than 2,200%, outperforming virtually each sizeable public firm besides Nvidia.

MicroStrategy has financed its buys by issuing a mix of latest inventory and convertible bonds. Its bonds pay low or no curiosity however could convert to MSTR shares below sure circumstances.

Other corporations have adopted go well with. Corporate treasuries now maintain about $56 billion value of BTC, in line with BitcoinTreasuries.NET.NET.

Trump connection

Ramaswamy, an outspoken ally of President-elect Donald Trump, based Strive in 2022. The asset supervisor goals to assist buyers “harness the power of capitalism,” in line with Strive’s web site. 

In 2023, Ramaswamy — who earned most of his $1 billion web value from founding biotechnology startup Roivant Sciences — campaigned towards Trump within the Republican presidential major. 

He later endorsed the president-elect. In November, Ramaswamy joined Tesla founder Elon Musk as a pacesetter of the Department of Government Efficiency (DOGE), a non-public initiative meant to chop wasteful authorities spending.

Industry analysts see Trump’s presidential win as a inexperienced gentle for greater than half a dozen proposed crypto ETFs ready on regulatory approval to listing within the US.

In 2024, asset managers submitted a flurry of regulatory filings to listing ETFs holding altcoins, together with Solana (SOL), XRP (XRP) and Litecoin (LTC), amongst others.

Since profitable the US presidential election on Nov. 5, Trump has proposed appointing pro-crypto trade management for key regulatory businesses.

In December, the President-elect introduced former PayPal chief working officer David Sacks as his “AI and crypto czar,” and former SEC commissioner Paul Atkins as his decide for Securities and Exchange Commission chair.

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