Breaking News: Strive Seeks Approval for Groundbreaking Bitcoin Bond ETF
In a move that could shake up the cryptocurrency market, Strive, an asset manager founded by Vivek Ramaswamy, has filed a request with US regulators to list an innovative exchange-traded fund (ETF) focused on convertible bonds issued by MicroStrategy and other corporate Bitcoin buyers. This development has significant implications for investors looking to tap into the growing trend of companies investing in Bitcoin.
What are Bitcoin Bonds?
For the uninitiated, Bitcoin bonds refer to convertible securities issued by companies like MicroStrategy, which plan to use a substantial portion of the proceeds to purchase Bitcoin. These bonds often come with low or no interest but offer the potential to convert to company shares under certain conditions. MicroStrategy, a pioneer in this space, has spent approximately $27 billion on Bitcoin since 2020, with its stock (MSTR) skyrocketing over 2,200% as a result.
The Strive Bitcoin Bond ETF: A New Investment Opportunity
The proposed Strive Bitcoin Bond ETF will be actively managed, allowing investors to gain exposure to Bitcoin bonds either directly or through financial derivatives like swaps and options. While the management fee has not been disclosed, it’s likely to be higher than passive index funds. This ETF offers a unique way for investors to tap into the growing trend of corporate Bitcoin adoption, which now totals approximately $56 billion in BTC held by corporate treasuries.
A Trump Connection and a Pro-Crypto Stance
Vivek Ramaswamy, Strive’s founder, has an interesting connection to President-elect Donald Trump. Despite initially campaigning against Trump in the Republican presidential primary, Ramaswamy later endorsed him. With Trump’s presidential win, industry analysts expect a more favorable environment for crypto ETFs, including the proposed Strive Bitcoin Bond ETF. In fact, Trump has already proposed appointing pro-crypto industry leaders to key regulatory agencies, which could pave the way for more innovative crypto investment products.
What’s Next for Crypto ETFs?
The Strive Bitcoin Bond ETF is just one of many proposed crypto ETFs waiting for regulatory approval in the US. With Trump’s pro-crypto stance, we can expect to see more innovative investment products emerge in the coming months. As the crypto market continues to evolve, it’s essential for investors to stay informed and adapt to the changing landscape.
What do you think about the Strive Bitcoin Bond ETF? Share your thoughts in the comments!
Source: Cointelegraph.com
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