Strive’s new $500 million Bitcoin financing plan comes with a $257 million annual dividend problem

Bitcoin treasury company Strive is introducing a second preferred-stock product to accelerate Bitcoin purchases beyond the limits of its existing financing strategy.On Oct. 13, the company announced plans to offer five million shares of SATS, a perpetual preferred security with a fixed 15% annual dividend. At $100 per share, the firm would raise $500 million to support additional Bitcoin acquisitions.The launch follows the rapid expansion of Strive's existing SATA preferred stock, whose outstanding stated amount has climbed from $200 million at its November 2025 debut to approximately $1.4 billion.Strive's Bitcoin holdings have grown alongside that financing program, rising from 7,627 BTC at the beginning of 2026 to 35,595 BTC as of Oct. 14.The new product comes as restrictions on SATA issuance constrain Strive's ability to raise capital. Management wants to expand Bitcoin purchases while prices remain below $100,000, but the additional financing could push its annual preferred-dividend obligations above $257 million.Strive targets new investors as SATA financing faces limitsSATS will pay a fixed 15% annual dividend on a $100 stated amount, compared with SATA's variable 13%. Paymen...