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Strive keeps SATA preferred dividends at 13% as cash covers 18.3 months

Strive reported $154.9 million in cash and cash equivalents as of Aug. 7, which CryptoSlate’s static calculation equates to about 18.3 months of coverage at the 13% SATA rate.

Reported · Written up by our desk · Bitcoin

Strive, a Bitcoin treasury company, set the variable dividend rate on its perpetual preferred equity, SATA, at 13% for periods beginning on or after Aug. 1, according to its Aug. 10 quarterly filing as summarized by CryptoSlate.

Based on 7,829,502 SATA shares outstanding at June 30, a 13% annualized rate implies about $101.8 million of dividends. CryptoSlate notes this is a desk calculation rather than company guidance, and the outcome could change if Strive adjusts the rate or issues additional preferred shares.

CryptoSlate also compared that annualized dividend run rate with Strive’s liquidity, citing $154.9 million of cash and cash equivalents reported as of Aug. 7. In a static, cash only coverage view, it implies about 18.3 months of coverage, while excluding operating needs, other liquid investments, inflows, and changes to the preferred dividend structure.

In the quarter, Strive reported $26.2 million of preferred dividends, but CryptoSlate says the filing indicates roughly $22.4 million in cash payments with preferred dividends payable increasing by about $3.8 million, making the reported quarterly total a weaker proxy for a full quarter. CryptoSlate further points to Strive’s Bitcoin holdings rising to 20,167 by Aug. 7 after acquiring 303 Bitcoin, with no post quarter Bitcoin sale disclosed in the filings reviewed through Aug. 10, while Strive raised about $43 million in gross proceeds by selling 3,415,998 Class A shares between July 1 and Aug. 7.

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