Strive targets 75,000 troubled Bitcoin claims from the bankrupt Mt. Gox estate to bolster its reserves.

Strive Asset Management has teamed up with 117 Castell Advisory Group to purchase distressed Bitcoin claims, specifically those associated with the now-defunct Mt. Gox exchange.

A filing submitted to the US Securities and Exchange Commission (SEC) on May 20 indicates that the two firms will focus on claims that have received conclusive legal determinations but are still pending distribution.

This strategy enables Strive to acquire Bitcoin at a price lower than the prevailing market rate, thus enhancing its BTC holdings per share. The company believes that this initiative aligns with its overarching aim to outperform the leading cryptocurrency over an extended period.

As part of its strategy, one of the initial actions includes buying claims from the Mt. Gox estate, which retains approximately 75,000 BTC that have yet to be disbursed.

Once the largest Bitcoin exchange, Mt. Gox facilitated the majority of global Bitcoin transactions until its collapse in 2014 due to a significant security breach that led to the loss of 850,000 BTC.

Following the bankruptcy, a trustee was appointed by a Tokyo court to manage the distribution of the remaining assets to creditors.

Although repayment efforts commenced last year, the pace has been sluggish, with many creditors still awaiting their payments. Consequently, the final deadline for payouts has been pushed to October 2025.

Strive’s Bitcoin acquisition awaits shareholder approval

The firm emphasized that its plan to acquire distressed Bitcoin claims from Mt. Gox is contingent upon receiving approval from its shareholders.

Strive plans to file a Form S-4 registration with the SEC, which will detail all the terms of the proposed acquisition. After submission, shareholders will be given a proxy statement or prospectus for voting on the matter.

The SEC filing also mentions various potential risks that could impede the transaction. Strive pointed out that the inherent volatility of Bitcoin’s price might lower the worth of the claims being acquired and impact expected financial returns.

Furthermore, the firm cautioned that the expected discount on claims might not be realized if prices rise or if there are further delays.

Additional challenges include risks from creditors who have not yet completed necessary procedures and possible legal obstacles from stakeholders or regulatory bodies.