Strive, an asset management firm founded by Vivek Ramaswamy, has submitted a regulatory filing to launch an exchange-traded fund (ETF) focused on convertible bonds tied to Bitcoin buyers, including MicroStrategy. The December 26 filing outlines the fund’s strategy to invest in “Bitcoin Bonds,” which include convertible securities issued by companies that use proceeds to purchase Bitcoin.
The actively managed Strive Bitcoin Bond ETF will offer exposure either directly or through financial derivatives such as swaps and options. While management fees for the ETF haven’t been disclosed, actively managed funds generally carry higher costs compared to passive index funds.
MicroStrategy’s Bitcoin Bond Strategy
MicroStrategy pioneered the concept of Bitcoin-backed corporate treasury strategies in 2020, spearheaded by co-founder Michael Saylor. The company has since invested approximately $27 billion in Bitcoin, financing these purchases through a mix of new stock issuances and convertible bonds.
Convertible bonds issued by MicroStrategy pay little to no interest but allow investors to convert the bonds into shares of its stock under specific conditions. This approach has driven MicroStrategy’s stock (MSTR) to soar by more than 2,200%, outperforming most large-cap public companies except Nvidia.
Other companies have adopted similar strategies, contributing to corporate treasuries collectively holding around $56 billion worth of Bitcoin, according to BitcoinTreasuries.net.
Vivek Ramaswamy’s Connection
Strive’s founder, Vivek Ramaswamy, launched the firm in 2022 with a mission to help investors leverage capitalism. A prominent ally of President-elect Donald Trump, Ramaswamy endorsed Trump after challenging him in the 2023 Republican presidential primary.
In November 2024, Ramaswamy joined Elon Musk to lead the Department of Government Efficiency (DOGE), a private initiative aimed at reducing government waste.
