Podcast Summary: CRYPTO 101 – Ep. 663 "The Strategy of Outperforming Bitcoin with Strive Asset Management"
Release Date: July 1, 2025
Hosts: Bryce Paul & Brendan Viehman
Guest: Matt Cole, CEO and CIO of Strive Asset Management
1. Introduction and Overview
In this episode of Crypto 101, hosts Bryce Paul and Brendan Viehman delve into the burgeoning bull market in the cryptocurrency space. They welcome Matt Cole, the CEO and CIO of Strive Asset Management, to discuss innovative strategies aimed at outperforming Bitcoin. The conversation sets the stage by highlighting the positive fundamentals driving the current crypto surge, including institutional adoption, regulatory clarity, and increasing Bitcoin holdings by major treasuries.
2. Matt Cole’s Background and Strive Asset Management
[04:26] Matt Cole shared his extensive experience in institutional investment, prior to founding Strive Asset Management in 2022. With a 16-year tenure at CalPERS, the largest pension fund in America, Matt managed approximately $70 billion in fixed income strategies, including U.S. Treasuries. His transition into the crypto world began in late 2016, leading him to become a committed Bitcoiner.
Key Quote:
"I think bitcoin is the fastest asset to take advantage of the money printing, the rise of M2 globally..."
— Matt Cole [08:49]
He emphasized Strive's mission to push back against ESG constraints in capital markets, aligning the company’s goals with the broader Bitcoin community to drive financial freedom and value maximization.
3. The Investment Case for Bitcoin
The discussion pivots to the compelling investment thesis behind Bitcoin. Matt Cole argues that Bitcoin serves as a hedge against the pervasive global fiat debt crisis and the continual rise in M2 money supply. With Bitcoin's decentralized nature and limited supply, it stands as a robust store of value compared to traditional fiat currencies, which are susceptible to devaluation through excessive money printing.
Key Quote:
"Bitcoin benefits with when M2 rises... most American Americans can afford a $2,000 payment. They're, they're effectively screwed financially and they need an opt-out. And I think that opt out is Bitcoin."
— Matt Cole [12:56]
4. Bitcoin Accumulation Strategy and Shrinking Supply
Brendan Veeman highlights recent data showing a shrinking Bitcoin supply both on exchanges and over-the-counter (OTC) desks, creating a "perfect storm" of increasing scarcity and rising demand. This phenomenon is driving up Bitcoin's value as fewer coins remain readily available for trading.
Key Quote:
"There's just not enough Bitcoin to go around from large players. And so with this, this gets into something that's actually pretty important."
— Matt Cole [13:42]
Matt delves into the competitive landscape, noting the race among corporate treasuries and nation-states to amass substantial Bitcoin holdings. He underscores that ETF inflows are further tightening supply, positioning Bitcoin for significant price appreciation.
5. Strive vs. Other Bitcoin Treasury Companies
Bryce Paul inquires about Strive's unique positioning compared to other Bitcoin treasury companies like MicroStrategy and Metaplanet. Matt Cole explains that while many companies focus on balance sheet management and beta strategies, Strive distinguishes itself by actively seeking alpha—strategies that outperform Bitcoin’s benchmark.
Key Quote:
"Strive's going to do both [beta and alpha strategies]. So we are going to leverage what has been done on the beta side by players like Strategy, Meta Planet, all the, all those, you know, components, competitors out there. But then we also have capabilities to generate alpha."
— Matt Cole [19:23]
He elaborates on various alpha-generating strategies, including acquiring undervalued biotech companies and purchasing Bitcoin claims at discounts, thereby enhancing Strive's Bitcoin holdings while striving to outperform the cryptocurrency’s inherent growth.
6. Access for Retail Investors to Strive’s Strategies
The hosts pose questions about how individual investors can gain exposure to Strive’s strategies. Matt Cole clarifies that Strive is in the process of a reverse merger with a publicly traded company, Asset Entities, which aims to secure up to $1.5 billion in initial funding to build their Bitcoin war chest. This strategic move is intended to make Strive’s asset management services accessible to a broader investor base once the transaction is finalized.
Key Quote:
"We're going looking to do everything we can to close this transaction, buy the Bitcoin, deploy the alpha strategies and continue to accumulate a larger and larger war chest..."
— Matt Cole [25:30]
7. Valuation of Bitcoin Treasury Companies by Wall Street
Bryce Paul raises concerns about how Wall Street analysts are valuing Bitcoin treasury companies. Matt Cole points out that many analysts fail to incorporate Bitcoin's impact on these companies’ balance sheets, leading to potential undervaluation and inefficiencies in market pricing.
Key Quote:
"No one had modeled in the impact of strategy, which is actually going to hit the balance sheet, hit the, hit the return line."
— Matt Cole [29:06]
He suggests that the lack of nuanced analysis by traditional analysts provides savvy investors with opportunities to capitalize on the growing Bitcoin strategies within these companies.
8. Impact of AI on Bitcoin Strategy and Broader Markets
The conversation shifts to the intersection of artificial intelligence (AI) and Bitcoin strategies. Matt Cole envisions AI accelerating the turnover in public markets, similar to the transformative impact of the internet. He argues that as AI disrupts traditional business models, companies with robust Bitcoin treasuries will be better positioned to navigate and capitalize on these changes.
Key Quote:
"I think it's very possible with all the public filings, because this isn't, you know, traditional crypto where there was a lot of opaqueness. These are publicly traded companies, they have to file what they're doing."
— Matt Cole [48:35]
9. Strategic Bitcoin Reserves for Nation States
Matt Cole discusses the potential for nation-states to incorporate Bitcoin into their strategic reserves as a means to mitigate the risks associated with fiat debt and currency devaluation. He proposes innovative financial instruments like "bit bonds," which link U.S. Treasury instruments with Bitcoin, thereby diversifying reserves and potentially reducing debt costs.
Key Quote:
"If one year, you know, controlling the supply to keep prices stable, and the other you're doing the opposite. It makes sense that it should be volatile by design, but through its volatility, it goes up in purchasing power because it's actually deflationary."
— Matt Cole [32:30]
10. Risks Associated with Bitcoin Treasury Strategies
Addressing potential risks, Matt Cole emphasizes the importance of understanding leverage and the specific strategies employed by Bitcoin treasury companies. He highlights that while some companies may employ high leverage strategies that could falter in extreme market downturns, Strive has opted for a more conservative approach by avoiding debt in their initial offerings.
Key Quote:
"We took no debt in our first offering... so we don't have debt."
— Matt Cole [45:26]
He advises investors to conduct thorough due diligence on leverage and risk management practices when evaluating Bitcoin treasury companies.
11. Success Metrics for Strive Asset Management
Looking ahead, Matt Cole outlines Strive’s dual mandate: accumulating a substantial Bitcoin war chest while consistently outperforming Bitcoin as an investment benchmark. Success for Strive is defined by both the growth of their Bitcoin holdings and their ability to deliver superior returns to investors over long-term cycles.
Key Quote:
"So as large of a position in bitcoin as we can while outperforming bitcoin as a hurdle rate for our investors."
— Matt Cole [52:22]
He emphasizes the strategic importance of aligning company performance with Bitcoin’s growth trajectory to ensure continued investor value.
12. Bitcoin as a Savings Vehicle vs. Investment Vehicle
The hosts explore the broader ethos of Bitcoin as a savings medium compared to traditional investment vehicles. Matt Cole defends the transformation of Bitcoin into a public equity-like asset through treasury companies, arguing that it enhances accessibility and utility without compromising Bitcoin’s core value propositions of decentralization and long-term value retention.
Key Quote:
"If you're in dollars, and the reason you're in dollars is not because you're trying to get outside of a dictatorship regime that might take your money, well, then what you really want is something that's going to retain value over time, and that's something that will retain value over time is Bitcoin."
— Matt Cole [43:42]
Conclusion and Future Engagement
The episode concludes with Matt Cole sharing his social media handles and inviting listeners to follow Strive’s journey. Hosts Bryce Paul and Brendan Viehman express their enthusiasm for Strive’s innovative approach and the potential impact on the cryptocurrency investment landscape.
Key Quote:
"This is a call to the leaders who want to redefine their impact."
— Brendan Veeman [56:30]
Listeners are encouraged to stay tuned for future episodes featuring Strive Asset Management and other pioneering voices in the crypto space.
Follow Matt Cole:
- Twitter: Cole Macro
- Strive Asset Management: Strive.com
- Strive Twitter: Strive Funds
Strive Asset Management is at the forefront of leveraging Bitcoin within institutional investment frameworks, offering innovative strategies to outperform the leading cryptocurrency while ensuring robust asset accumulation. This episode provides valuable insights for both retail and institutional investors seeking to navigate the evolving crypto landscape.