Bitcoin Preferred Stock SATA Trades $43M Versus JPMorgan’s $5.9M in One Day
Strive’s Bitcoin-backed preferred stock SATA traded $43 million in a single day, outpacing JPMorgan’s variable-rate preferred (JPM-PD) $5.9 million volume by over 7x despite JPM-PD having 3.5 times more shares outstanding. JPM-PD matched SATA’s $1.28 billion cumulative trading volume only over 515 trading days versus SATA’s 104 sessions.
1. Volume Disparity
SATA logged $43 million in single-day volume, more than seven times JPMorgan’s $5.9 million for its variable-rate preferred (JPM-PD), despite JPM-PD’s 3.5 times larger share count. Since its November launch, SATA reached $1.28 billion in volume over 104 sessions, a milestone JPM-PD took 515 days to hit.
2. Dividend and Trading Range
SATA features a variable dividend currently set at 12.75% with resets that anchor its price within a tight $99 to $101 range, which simplifies price comparison and reduces volatility. JPM-PD offers a variable rate but lacks a similarly narrow trading band, potentially affecting its stability and investor appeal.
3. Implications for JPMorgan
The disparity underscores growing preference for newer issuances like SATA among institutional investors seeking higher yields and tighter pricing bands. JPMorgan may need to reassess its preferred share structure and liquidity strategies to maintain competitiveness in the preferred securities market.