A 13% dividend is set to force another Bitcoin treasury company into the unthinkable: liquidating its BTC to pay cash
Strive’s balance sheet still has a large senior claim: SATA perpetual preferred equity, which ranks ahead of common stock through cumulative cash dividends. At June 30, Strive had 7.83 million SATA shares outstanding, equal to about $783 million of liquidation preference. The board kept SATA’s dividend rate at 13% starting Aug. 1, implying roughly $101.8 million of annualized preferred dividends at the June 30 share count. Against $154.9 million of cash and equivalents reported Aug. 7, that implies about 18.3 months of cash-only coverage, before operating needs or other financing. Q2 preferred dividends of $26.2 million were not all cash paid; about $22.4 million was cash and $3.8 million accrued. Strive also held 20,167 Bitcoin as of Aug. 7, up from 19,864 at June 30, and reported no post-quarter Bitcoin sales. From July 1 to Aug. 7, it raised $43 million by selling 3.42 million Class A shares, while issuing no SATA shares. Future funding can come from common issuance, SATA rate resets, or potential Bitcoin sales, though each has limits.
