In brief
Benchmark-StoneX initiated a "Buy" rating on Strive, praising its “nimble” debt-free framework and preferred stock.
Strive expanded its holdings to 19,000 BTC ($1.3 billion) and announced plans to increase an issuance program by $4.2 billion.
Despite targeting the same group of investors, analyst Mark Palmer described Strive and Strategy as friendly rivals.
Strive received a nod of approval from Benchmark-StoneX analysts on Tuesday after the Bitcoin-buying asset manager padded cash reserves while growing its stockpile.In an SEC filing, Strive indicated that it purchased 2,500 Bitcoin last week, expanding the company’s holdings to 19,000 Bitcoin worth $1.3 billion. At the same time, the firm raised $44 million for the purpose of ensuring that dividends on its preferred stock can be paid.Like Strategy, Strive has devised a variable-rate product dubbed SATA, which will offer a 13% annual dividend in daily payouts—starting June 16—making it the first listed security in the U.S. to offer routine daily dividends as opposed to traditional quarterly or monthly distributions.It may seem like Strategy and Strive are competing for the same market, but their businesses actually complement each other, Benchmark-StoneX analyst Mark Palmer told Decrypt. That’s because both companies are committed to furthering the concept of “digital credit.”
