Jeff Walton: Where the Next Trillion Dollars for Bitcoin From, $SATS IPO Update
Key Takeaways
- •Strive completed a $700 million Bitcoin-focused raise through its upsized SATS preferred stock IPO, succeeding despite widening CCC high-yield credit spreads.
- •Jeff Walton, Strive's Chief Risk Officer, contends that Bitcoin-backed preferred equity will be the source of the next trillion dollars of Bitcoin capital.
- •The interview details Strive's 18-month dividend reserve, which is designed to help the company withstand an extended Bitcoin bear market without access to new capital.
- •Discussion topics also include Strategy's daily dividend vote, STRC returning to par, and the potential ceiling for Strive's amplification ratio.
- •Walton addresses MSCI's exclusion of Bitcoin treasury companies and draws a parallel to Vanguard, while describing new institutional capital pools chasing Bitcoin as 'a gold rush'.
Bitcoin Magazine has published a new interview with Jeff Walton, Chief Risk Officer at Strive, examining where the next trillion dollars of capital for Bitcoin is likely to come from and offering an update on the company's $SATS preferred stock initial public offering.
The discussion centers on a notable financing outcome: Strive raised $700 million for Bitcoin even as CCC high-yield credit spreads were blowing out. Walton explains what that result signals about the growing market for Bitcoin-backed preferred equity.
The conversation also covers Strategy's daily dividend vote, the future of rated capital, and why Walton believes Bitcoin-backed preferred equity is where the next trillion dollars comes from. For readers tracking the development of Bitcoin-related capital markets, the interview connects the SATS offering with questions about dividend reserves, amplification ratios, access to capital during a bear market, and the role of new institutional capital pools.
The full interview is available on YouTube: Watch the video.
Topics covered in the discussion, with timestamps, include:
- 00:00 — Strive raises $700M in SATS preferred stock IPO
- 02:11 — Behind the scenes of the upsized SATS offering
- 05:03 — How high can Strive take its amplification ratio?
- 07:01 — SATS vs. SATA: a new tool for raising capital
- 08:36 — Strive's 18-month dividend reserve explained
- 11:13 — Surviving the longest Bitcoin bear market with no capital access
- 13:36 — Strategy's daily dividend vote and STRC returning to par
- 15:59 — “A gold rush”: new capital pools chasing Bitcoin
- 18:54 — Raising capital as high-yield credit spreads blow out
- 22:27 — MSCI's Bitcoin treasury exclusion and the Vanguard parallel
The post, written by Patrick Green, first appeared on Bitcoin Magazine.
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