Jan. 22 at 4:16 AM
$SATA $SMLR @MMix0117 - Let's run the math.
Year 1
$ASST sells 150M of SATA for 135M
Gives out 12% interest or 18M in one year
So, Strive really received 117M, but on the hook now for 150M
Strive uses 13M for operational cost
117M - 13M =104M left
10% of SATA cashes out at the end of the year = 91M left, but still on the hook for 135M.
Buys Bitcoin with the 91M left over.
Year 2
Strive sells another 150M of SATA for 135M
Same 12%, same operational cost
135 - 18 -13 = 104
But now 10% of year 1 and 10% year 2 cashes out at EOY
13.5 + 15 = 28.5M
104 - 28.5 = 75.5M left over, but still on the hook for 256.5M
Year 3
150M SATA for 135M
135 - 18 - 13 = 104
104 - 12 - 13.5 - 15 = 63.5M left over, but still on the hook for 360M
Eventually, Strive will be paying out the total amount received in interest and closeout. And then, Strive will have to increase the amount of SATA sold just to meet the interest payments, or sell more ASST shares to raise cash, diluting current shareholders.
