U.S. Asset Entities Approves Merger With Strive, Transition to Bitcoin Treasury Firm

Asset Entities (ASST) shareholders approved a merger with Strive Enterprise, marking the start of a transition into a bitcoin-focused digital asset treasury (DAT). On the 9th (local time), The Block reported that the merged company will change its name to 'Strive, Inc.' and continue trading on Nasdaq under the ASST ticker.

The new management will have Matt Cole as chief executive officer (CEO), and Asset Entities co-founder Arsia Sarkani will join as chief marketing officer (CMO) and board member. Cole said, "This merger approval is a decisive moment to build a world-class bitcoin treasury firm," adding, "We will pursue a long-term strategy to maximize bitcoin value per share through a debt-free structure and a reverse merger approach."

Following the merger announcement, the stock surged. Asset Entities' shares closed at $6.28 on the 9th, up 17%, and rose an additional 35% in after-hours trading. The two companies announced merger plans in May proposing a 'tax-free bitcoin-for-stock exchange' structure under Section 351 of the U.S. tax code. At the time, Strive also said it planned to review distressed claims including 75,000 BTC related to the bankrupt Mt. Gox.

At closing, the company will conduct a $750 million private investment in public equity (PIPE) and may also raise an additional $750 million through warrant exercises. Subsidiary Strive Asset Management has surpassed $2 billion in assets under management since launching its first ETF in 2022, and a co-founder is Vivek Ramaswamy, a biotech billionaire and former U.S. presidential candidate.

Asset Entities currently provides content production and marketing services based on social media platforms such as Discord, TikTok, and Instagram.