MSTR

NochillWill123

Well makes me feel better about my -35k unrealized MSTR calls

RealPrinceZuko

Congrats, that's all you really need tbh. Everyone here talking about stacking additional coins, but simple math shows this is plenty if the worst case scenario hits (people buying things with sats). I say worst case scenario from a financial system/world perspective and not from a BTC investment perspective. Anything beyond .1 BTC is overkill imo. Whenever I hear how much BTC Saylor has with MSTR, I just laugh. Does he think he can just buy all of it and then use it as money? No. Everyone else will find something different to use if one person has all of it. That's why I'm against hoarding BTC.

ed1911

More relevant are the convertible bonds. They start to mature in 2029. For the 2032 he needs a stock price of 2400 or to repay the bonds in cash. If BTC is not at a million by than MSTR most likely goes down.

JimmyWhatever

I was 30% IBIT 15% MSTR. Sold MSTR down to 5% 61 years old. Will hold till 65, then reduce to 5-10% and primarily go to dividend ETF’s and VOO

Abject-Stretch-1187

Yah it’s idiots who don’t realize MSTR doesn’t have a liquidation price. They said the same nonsense about MSTR in the last cycle as well.

Mecklenjr

My GBTC is still up 175% after fridays close, BTC + 165%. I sold my remaining MSTR at a small profit. I’m 76 and shouldn’t take such risks but don’t want to pay capital gains and my gut tells me within a year or BTC will be back up enough to justify holding.

AutoModerator

Post is by: First-Option-1111 and the url/text [ ](https://goo.gl/GP6ppk)is: /r/CryptoMarkets/comments/1p3r3a3/emergency_bitcoin_nukes_to_82000_altcoins_broke/ [https://youtu.be/6K9xTHsj1Tg](https://youtu.be/6K9xTHsj1Tg) Bitcoin just got obliterated to $82,000 Altcoins smashed below a key support that no one is watching. In this 5-minute rapid-fire update I cover: 1) Why this drop to 82K actually happened FASTER than bears expected 2) The exact altcoin support level that just broke 3) Why MicroStrategy (MSTR) is still acting as Bitcoin’s ultimate front-runner NFA. Crypto is insanely risky. Be safe. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/CryptoMarkets) if you have any questions or concerns.*

Full-Atmosphere-4818

MSTR's cost basis is $79k. He is almost underwater after 5 years of buying Bitcoin and in that period his average annual return trails money market funds, despite literally 20x the volatility.

Easik

MSTR is the most liquid instrument to hedge BTC exposure. All of these companies have massive exposure and need a way to balance risk, MSTR fills that with it being a leverage BTC play. It's why option premiums are so expensive. I can't imagine"they" would crush MSTR unless they intend to exit BTC entirely.

PreachyOlderBrother6

Structured selling. Whales delevraging, daily. Could go lower. Amazing buying opportunity. Personally, I'm majorly optimistic. If governments and companies like MSTR are dropping billions into it, I think it's safe for you and me to invest and hodl. Same with gold. If they're doing it, we should, too.

xarips

Yeah I want MSTR to be the biggest company to ever exist

dataCollector42069

best part of BTC is it gives the gift of allowing us to have our puts print hard on MSTR. Five digit gain this week o7

defiCosmos

Well, not if, but when the MSTR ponzi collapses, there may be no bottom.

VariatCA

Forgot it was new-daily time, so I'll add this part again. In another fun bit of coincidence, October 10th was also when the MSCI sent out their memo about potentially removing crypto-treasury companies like MSTR from the Nasdaq. They'll be "internally discussing it" up until New Years, and coming to a decision by January 15th 2026. It wouldn't surprise me one bit that pressure was also coordinated on BTC knowing that fear of Strategy's removal would build, and damaging their underlying asset could hurt them even more.

JustLTFD

You realize Michael Saylor and MSTR have been buying billions on borrowed money driving the price up from $15k? They are out of money now and have to become sellers. I think that's as fearful as it should get. Anybody in the know won't touch BTC with a 10 foot pole until his 690k coins are gone.

VariatCA

In another fun bit of coincidence, October 10th was **also** when the MSCI sent out their memo about potentially removing crypto-treasury companies like MSTR from the Nasdaq. It wouldn't surprise me one bit that pressure was also coordinated on BTC knowing that fear of Strategy's removal would build, and damaging their underlying asset could hurt them even more.

substandard2

Nope. Retail will be forced to sell due to fear. If MSTR has to sell to cover losses. Expect a massive dip. Those with liquid will do well.

coinfeeds-bot

tldr; Economist Peter Schiff has accused Bitcoin-focused company MicroStrategy (MSTR) of operating a fraudulent business model, claiming it will eventually go bankrupt. Schiff criticized the company's reliance on issuing preferred shares to raise capital for Bitcoin purchases, suggesting it creates a financial 'death spiral.' He challenged MicroStrategy Chair Michael Saylor to a debate at Binance Blockchain Week in December. Schiff's remarks highlight concerns over the company's sustainability and its ability to meet dividend obligations amid Bitcoin market volatility. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

2peg2city

That's not what a ponzi scheme is. A ponsi scheme uses the investments of new investors to simulate returns to original investors. MSTR is just a share of the company assets that are mostly btc.

arBettor

"Here in the real world we can correlate the BTC price almost directly with USDT supply curve" No you can't. 1/21/25 - 4/7/25: BTC -28%; USDT Mkt cap +4% 4/7/25 - 10/6/25: BTC +63%; USDT Mkt cap +23% 10/6/25 - 11/21/25: BTC -32%; USDT Mkt cap +4% Negatively correlated, then positively correlated, then negatively correlated. There is no meaningful correlation. "It's telling that your argument is that USDT **supply** has no effect on BTC price." Please point out where I argued that. I'm just poking holes (easily) in your arguments. You thought MSTR was an ETF, you don't know what you're talking about. Go back into hibernation.

arBettor

"Most traders know that USDT wash trading has kept BTC price up for years. " Even if you had a survey of traders to substantiate this claim, that doesn't mean anything. Do traders have some special information that the rest of us don't have access to? Tether FUD gets trotted out periodically yet it remains completely theoretical and IMO is completely false. Yet you present it as fact here. First mistake. "ETFs other than MSTR are holding their prices." Huh? Are you talking about bitcoin ETFs? They're gotten crushed alongside the bitcoin price, exactly as expected and as designed. Also MSTR is not an ETF. You're grasping at straws here and making no sense.

Butteredscotch

Doesn't MSTR have like 700k btc? That's less than 5% isn't it? Seriously asking, I'm out of the loop

mikkeltaylor1

Believe what? MSTR ain’t getting liquidated unless Bitcoin goes to $20k . Black rock ain’t letting that happen

normnormno

Christ why does it matter so much to you? Are you being forced to buy MSTR or BTC?

CoffeeAlternative647

I believe most of this dip was cause exactly by what this guy Lee mention here: https://www.reddit.com/r/MSTR/s/w1qeX7uZTY Note that im totally off from these Wall Street guys but what he says here makes total sense. Big money had to capitulate from October 10th big losses so they're both selling stash and shorting/milking MSTR (go check MSTR stock since then). The "they" he's refering is clearly Binance (90% of the liquidations happened in Binance). Big money will eventually return, they're just stacking dry powder.

BoringPrinciple2542

So nothing like Fortune500 where a valuation could cause an inherent re-index right? Crypto ETFs I would think are willing to ride things out as a whole but if I managed one I would probably sell and buy the asset itself. MSTR is way overpriced compared to BTC value especially after Q3/4 FY24.

BoringPrinciple2542

Sales really wouldn’t be needed though. The whole idea of comparing BTC holdings to total liabilities is for a BTC-centric version of the acid-test. Realistically, MSTR only needs to be able to cover their interest payments and they could probably hit that minimum by yield farming. My understanding of the mSTR model is that Saylor is gambling hard on USD inflation vs BTC so he would likely pay minimum interest while utilizing the dip to increase BTC holdings.

namieorange

MSTR wont have any debt issues even if it goes to 50k for a while. Their lenders are in a contract to allow the asset mature, untill 2029 when the debt is due. Yes the action price will drop considerably but they'll be fine

Striker3737

OTC sales don’t directly affect the price at all. The knowledge that such a sale took place causes others to sell, driving the price down. MSTR selling BTC to cover debts would cause a further drop, but not like them selling it on an exchange would. And in no circumstances would they ever sell their whole bag for a loss.

dataCollector42069

difference now is 76k would put MSTR underwater as there cost average went up about $10k since then

BoringPrinciple2542

I’m not familiar enough with MSTR to know which funds are holding them. You think it’s a possibility that they might start slipping?

dataCollector42069

lol this is so true and cope. I am glad I have no crypto exposure besides when I enter MSTR shorts that have been printing well for me.

GabeDef

I don't have a choice now! I have to average down to prep to get out. I waited 24 months too long to buy MSTR and now I have shit all over my hands.

The_Nothing00

I predict MSTR insolvency and sub 10k.

The_Nothing00

How does MSTR stay afloat when bitcoin is below 40k?

BoringPrinciple2542

I agree 100%. From a financial perspective though (these numbers are way outside my pay grade so I may not understand how things operate at that level), they will on part have a significant amount of liquid assets. From a generic ratios standpoint the basic formulas just assume the numbers on a balance sheet are true and don’t factor in slippage or nothing. When you are talking about billions of dollars, I assume there has to be additional calculations to account for the market impacts but if the BTC holdings alone are over 3x the total liabilities I wouldn’t think the company would be considered to be in financial risk. I’d be more concerned about implications of active trading than the balance sheet itself. I have qualms with MSTR overall but I believe they are financially secure unless there is a truly massive drop.

pop-1988

You're right, it's all public. The loans are repayable (at MSTR's choice) in MSTR shares at their high value. MSTR does this to shift the risk of BTC price falls onto the lenders. For their own reasons (BTC price optimism), the lenders accepted this condition

pop-1988

> Preferred shareholders don’t get paid in “vibes,” they get paid in dollars MSTR preferred shareholders have their obligations converted to MSTR shares, not repaid in dollars

pop-1988

Yes MSTR structured their borrowings so that the loans expire after a price crash followed by a price recovery - based on historical BTC price charts But BTC has a short history And, the future pattern of dips and surges may not follow this short history Investors know this. They're betting on the pattern repeating. They're accepting the risk of a price crash which exceeds the period of the loans, or they may be naively confident that the pattern will always repeat If the loans expire and the price is still low, the loans convert to shares. The share price will have already fallen, so the lenders take a loss. MSTR won't be able to sell more shares, or borrow. They'll become a small-cap which was once a top-50 cap But they'll never have to sell

VectoRequiem

my humble thought is whether the counterparties who have extended loans and bonds to MSTR would let Saylor throw in the towel....

pop-1988

If they sold stock to buy crypto, a price fall reduces the stock price. It doesn't affect the company's solvency If a company borrowed to buy crypto, the story might be different. But MSTR structured their loans to convert to shares. This means the company transferred the risk of price falls to the lenders. Also, the consequent share dilution affects all shareholders > how low does Bitcoin and ETH need to go before we see these same holding companies have to liquidate positions in order to pay back investors? The companies have no obligation to pay back investors. The investors bought shares, not bonds. Their share prices fall. They can sell shares and take the loss, or hold and hope The companies never have to sell

Selmemasts

All your points are valid. With that said I think the arguments are over exaggerated. In a long bitcoin recession, nobody would bat an eye if, Saylor sold some coins, especially if mNAV was far below 1 so the common holders didn’t lose any btc/share. All companies dive into their reserves in a recession. Only Saylor won’t say that there will be one because he believes that sells more stocks than being upfront, he is clearly preparing MSTR for a lengthy recession. The other point I would like to make is that dividends are far below $1b/year and that’s less than 1/30 of what is sold in stocks this year. I would say there is no risk of any BTC liquidation until 2029 and that is only if BTC goes below current valuation for a very long time.

wvutrip

It’s not looking good. We still have the massive failures to go through. MSTR appears fucked and I’m sure there will be things we aren’t thinking about that fail.

Sacrificed

Who is the incremental buyer after we already exhausted MSTR leverage, ETF flows, and the Trump government pump? Running out of bigger pools of capital unless we expect people to sell off useful assets (stocks/real estate) to invest in magic internet money.

rgnet1

Because his leverage is not like plebes who do leveraged buys that get margin called as soon as LTV increases. All of the debt he took on through the open market is extremely favorable to MSTR - their debt obligations are extremely flexible and can be deferred. The biggest problem is while MSTR's mNAV is below 1, it'll be near impossible to issue more shares or offerings to raise more capital. That's fine until they actually do have to make a payment of some kind and can't cover it without selling BTC, which could start a death spiral.

rgnet1

BTC price could go to $25k and MSTR is fine. If you don't believe that, show me the analysis based on their transparent financials.

wvutrip

Oh that’s pretty much a certainty at this point. At least the MSCI delisting. No chance they don’t remove him. They just have procedures that are followed and MSTR no longer qualifies so will be removed.

BoringPrinciple2542

Back of the napkin math… Currently MSTR holds 649,870 BTC. If we assume $70k BTC price we are looking at $48.74B while MSTR’s Q3 reported total liabilities at $15.5B. Saylor might run into problems but unless we see BTC REALLY crash I don’t think they’ll have issues on that front.

Truth_Teller3

MSTR green today

dataCollector42069

Making a lot more from MSTR puts then I ever did from crypto. We all knew this was a ponzi and the regards worshiping Saylor are even more regarded (or bots)

Large-Cow9765

Im not suggesting its common, im just calling out the BS that people keep copy pasting re MSTR forced liquidation and dividends obligation. But that's reddit for ya

rgnet1

Is there anything not transparent about how MSTR operates in different climates? Isn’t every scenario documented?

Impressive_Quote9696

thats not the reason why MSTR will never be allowed

jwz9904

they wouldn't want MSTR to drag the index down.

tomsmac

This is exactly why MSTR will never be allowed into the S&P.

TroubleInMyMind

Digital Asset Treasury. Like MSTR.

vekypula

Nah, MSTR is privatized Bitcoin

tomsmac

This is why MSTR will never be allowed into the S&P.

silverbulls8

Nobody cares about Saylor like you said. People are saying he (MSTR) is a huge catalyst for this thing to tank more if there's any sign of issue there. At this pace shit could start stirring soon.

MrT_IDontFeelSoGood

I mean… MSTR is just leveraged Bitcoin. That’s kinda their whole schtick

Scared_Good1766

I’ve been in since Feb 2021. I’ve seen a decent amount of volatility over that time, and I’d say I’ve got a pretty good stomach for it overall. Can’t lie though, this is hurting- I’m still up across all of my holdings by about 21%, but after almost 5 years, I’d have pretty much the exact same amount in a saving account, let alone ETFs. I’m kicking myself that I didn’t take some profits, calling myself greedy, wondering each day if I should sell at least a portion to hedge against further slides, which realistically are likely, and now despite still being in a small profit, I’m I’ve lost ~$85k in value since mid October. But I’m also trying to celebrate the wins/ smarter decisions- I may not have sold at highs, but I did stop buying crypto around September last year which in hindsight was a good call. I have sold out of my coins that I’d lost all conviction in across the last 6 months, including DOT, ALGO and HBAR- another good decision in hindsight. 90% of my free cashflow since September last year has been used accumulating metals- another good call in hindsight. I’ve continued to learn which has resulted in better project picks, better price points and better impulse control. Not at all a brag lol I’m just trying to balance out the vanishing of $85k in 7 weeks in my mind. But in all seriousness it’s rough, and it does get easier with experience but never easy- anyone that says it does is either a liar, a psychopath or doesn’t understand opportunity cost. In saying all of this I am holding, but only because the 5 coins I’ve whittled my crypto portion of my portfolio down to I have a deep faith in (all top 15) and I will buy more, but given the size of my current holdings I won’t buy until/unless we see another +20% drop, that way if we do bounce then I didn’t sell and still have a large exposure, and if we do deeply decline from this point I can get enough at a cheap enough price to make me feel alright for not taking profits. As for how low it goes, no clue- I just hope it doesn’t go low enough to cause MSTR to blow up, because that might be the one thing in my mind that could actually kill bitcoin for good. And I don’t think we’ll hit a proper floor until degens stop piling into long perps at each false floor

Illustrious-Hand-450

MSTR shorts are going to print tonight.  I heard people were hoping for the god candle to come and save the market, but that was something else.

AnyPortInAHurricane

lol, i warned ya'll to get out of MSTR and BMNR 50% ago . if thats a troll, that means you're a certified bagholder

TherealCarbunc

Possibly, The stronger companies with cash on hand or other revenue streams could very well accumulate further. Saylor was saying how MSTR could survive an 80-90% drawdown.

VariatCA

MSTR would only be removed if the MSCI just completely changes the rules about what qualifies to be on Nasdaq in the first place. The rule change would basically be removing treasury companies who have 50%+ of their assets in Crypto. This doesn't seem particularly spiteful at all lol... That rule change would disqualify their listing unless he came up with another ~$30 Billion in other non-crypto assets. It would also be a completely insane balancing act to try to keep up with, if BTC rocketed up in price and suddenly makes up more than 50% at a given time.

JustKiddingDude

That's because they're not stupid and took profits ahead of time. MSTR for sure sold too.

Putrid_Leg_1474

If thats how this works please dont buy again. I really do hope it drips quite a bit more. I sold all of my MSTR for a small profit so I'm only holding BTC and a small chunk of BLOX. Hoping it goes down more and stays pretty stagnant and my Sat collection will be more fruitful.

Large-Cow9765

It depends on the product. For STRD, nothing. For STRC for instance MSTR has to pay interest on skipped dividends that will cumilate (they have to pay it off eventually but can skip a date).

Large-Cow9765

This is categorically not possible, they cant be liquidated on unsecured debt and convertible notes. Only MSTR can decide to sell bitcoin. Stop spreading BS.

gpt5mademedoit

Bitcoin can 100% go to zero. Gold or silver or diamonds can’t. Neither can most companies (at least where debts are less than assets). So MSTR def could with their 8billion debt if bitcoin tanks.

Striker40k

I wonder how long MSTR can hold out. It's still above their average cost but they are leveraged to the tits.

Y0l0BallsDeep

I'll buy in after MSTR and Tether implode.

Y0l0BallsDeep

What makes you think that? Unlike any other bank MSTR can't create money out of nothing. Eventually he’ll have to repay the money he owes his creditors—principal plus interest—or keep rolling that debt over. On top of that, he has ongoing obligations to shareholders and all the operational liabilities that come with running a business. His entire model is built on leverage. And leverage means borrowing Asset A to buy Asset B. If the value of Asset B (BTC) drops far enough to violate loan-to-value thresholds, creditors will demand that he post more collateral. If he can’t, they’ll liquidate the position. There’s nothing mystical about it. It really is that simple. Don’t get distracted by the bullshit Michael Saylor pumps out to keep the narrative alive.

TONNAGE1975

When does MSTR go bankrupt?

GabeDef

Nah. It’s my fault. I bought a ton of MSTR and then BTC shit the bed. Unfortunately, I’m going to buy even more MSTR to average down… so, I’m sorry for the next dump.

Backrus

Was, not anymore. Let's look at April low. NVDA, the biggest market cap in the world, did 2.5x from the bottom. BTC did like 50%. Even from bear market bottom it was underperforming META, etc. On a risk-adjusted basis is done until proven otherwise. It's also the only asset in the world this year that collapsed instantly the moment it went into positive gamma. And it should behave more like TSLA or gold in August - gap up and go, and you don't look back because gamma feeds onto itself. Free assets move like that, and, on top of that, are able to squeeze shorts. You could have been short BTC since December 2024 FOMC meeting and never be in danger. In a post halving year, with historically weak dollar and during later innings of the greates bull market in history. Let that sink in. Since BTC as freedom idealogy is dead, and has been for quite some time, I'm interested in outperforming debasement, and it seems like mega caps with passive flows are the way to go. Those and anything with decent momentum. Logically, one should assume that there will be frontrunning of new FED chair and ZIRP so bottom around May, but who knows. It depends how deep we'll go this bear. IBIT cost basis is at 80.5k. Selling will accelerate there. Zombie companies will start puking coins. MSTR will get delisted from indices because it's just a close fund (and for close fund with expenses being 6-10% below mNav is considered fair value). So my guess would be 30k-40k range as bottom. Maybe even below IBIT floor, why not? Unless US or Japan tumbles - BTC has never seen real recession so 4-digits is the possibility then. There's also a scenario that the real top was in early December 2024 because we got peak euphoria then and BTC has topped in gold terms (and it printed and confirmed nasty head and shoulders in gold terms now). All in all, fully financialised BTC aka hijacked coin has become everything I don't like about financial world so I sold my whole stack few weeks ago and I'm enjoying unfolding carnage now. But I can see reality when Wall St runs ETH without BTC because narrative is there and test pump in Q2 was quite successful.

Mediocre_Wealth_9035

Only problem is that MSTR average btc price is 75k. If it gets that low we might get Saylor defaulting on some loans which might drag the whole ship down a lot more

Minute_Knowledge_401

One more leg down and MSTR is fucked. Got my popcorn ready lol

JustLTFD

Agreed. There is always a catalyst. Mt Gox, FTX, LUNA, ect. The catalyst this time is MSTR is blowing up. They borrowed billions and have been buying the last couple years. Well they are out of money and their stock has burst. So they will no longer be buying and will likely need to become sellers to cover interest payments. Many saw this coming long before it happened. Somehow Saylor is still in denial about having to sell BTC. The day he says it there will be blood in the streets.

baIIern

What morons are in charge of this that they are buying MSTR for a wealth fund 😭

CliffordBBanes

Why are they putting their money into MSTR? Are they degenerates?

Y0l0BallsDeep

Or if BTC price drops enough to breach LTV and MSTR can't post more bitcoin as collateral. >>> Margin call/ forced liquidation

JustLTFD

"Trouble" is a relative term. MSTR can be just fine, if they sell their BTC to cover their obligations. The problem is, if they go from being buyers to sellers, the price of BTC is going to crash, therefore MSTR crashes also. It will be any week now they announce they aren't buying anymore BTC. Who knows when Saylor actually admits he has to sell BTC to cover interest.

magus-21

I'm not defending MSTR. And we're on the same page about how fucked up the crypto economy is. But MSTR doesn't have an obligation to pay back investors. Preferred dividends can be stopped indefinitely if they don't pay and don't intend to pay common dividends. It's obviously *not a good sign* if they do that, but other mechanisms will be what forces liquidation if it comes to that. I just think OP has an idea that investors have the ability to tell companies like MSTR, "Yo, pay us this money or we'll force you to sell everything." Unless they have a controlling stake, they don't. Lenders, however, do.

VeryThicknLong

He’s also made billions… how low does BTC actually have to go before MSTR is in trouble?!

JustLTFD

And MSTR pumped the price by borrowing billions. That's why it got to where it is. THEY ARE OUT OF MONEY AND WILL HAVE TO START SELLING BTC TO COVER DEBT. This could be the biggest draw down in bitcoin history.

Y0l0BallsDeep

Saylor is fucked.... Or to be more accurate, MSTR shareholders are fucked. Saylor will be OK and move on to the next grift

Y0l0BallsDeep

No, you are wrong—because you’re talking like these are normal operating companies instead of crypto-treasury leverage bombs. Companies like MSTR, CLSK, RIOT, HIVE, etc. aren’t regular equity structures with diversified operating cash flows. They literally are forced sellers if the underlying asset nukes far enough because: 1. They have USD-denominated obligations. Preferred shareholders don’t get paid in “vibes,” they get paid in dollars. If the balance sheet is mostly Bitcoin and Bitcoin is worth half of what it used to be, the company suddenly has half the liquidity to pay a fixed obligation. 2. Preferred dividends are not optional. If they miss those payments, shit breaks fast: preferred dividends accrue credit rating tanks cost of capital explodes new financing becomes impossible covenant breaches trigger restructuring becomes likely Missing preferred payments in the real world is how you end up sliding into bankruptcy court. 3. If revenue doesn’t cover the dividend, they MUST sell reserves. MSTR isn’t a normal operating business generating strong free cash flow. Their “cash flow” is literally: selling Bitcoin issuing debt issuing new shares If BTC collapses hard enough, those three lifelines all choke simultaneously. 4. Falling BTC → falling equity → rising cost of capital → forced liquidation. This is exactly how leveraged balance-sheet plays die. Ask anyone who lived through: mortgage REIT collapses commodity-linked trusts Terra/Luna treasury mechanics Celsius/BlockFi Once the collateral (Bitcoin) drops far enough, the capital structure becomes unserviceable. 5. Bankruptcy DOES happen if assets < obligations. A company becomes insolvent when asset value drops below liabilities, not when “investors want to liquidate.” These Bitcoin-heavy companies literally are structured so that their treasury asset value has to remain high enough to cover fixed USD liabilities. If BTC nukes to, say, $15k and stays there? MSTR’s ability to pay its preferred shareholders, coupons, and refinance its converts gets torpedoed. Then yes—they either: sell their Bitcoin to survive dilute shareholders into oblivion or collapse into restructuring That is liquidation. That’s how liability-driven balance-sheet blowups work.

Rainyfriedtofu

lol Yes buy the dips so I can see MSTR go up so I can short it again.

meshreplacer

That would be catastrophic for MSTR if price continues to drop.

JustLTFD

When the bitcoin treasuries like MSTR who drove this whole thing up have to start selling, you'll see $30k. Bitcoin never ceases to amaze. It always goes higher or lower then anyone would expect.

coinfeeds-bot

tldr; Norway's sovereign wealth fund, managed by Norges Bank, has incurred significant losses exceeding $200 million on its investment in MicroStrategy (MSTR). The bank has been investing in MSTR since 2008 and increased its holdings significantly in 2024 and 2025. However, MSTR's value has dropped 38% in 2025, leading to substantial losses. Norges Bank's strategy appears to be tied to tracking indices like the Nasdaq 100 rather than a specific belief in MicroStrategy's prospects. *This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

Sensitive_Election83

I took a bearish btc trade last week by buying puts on MSTR and doubled down on it today. If btc / mstr recovers you can thank me. Or you can also join me in this trade. We all know btc will go down again at some point, and seems like maybe this is the end of the cycle as this cycle got too frothy with crazy leverage which someone (Barron I hear) popped in October. We can go long and go short. I think this is the time to go short. And a year from now will be the time to go long once again.

VariatCA

And to the point, MSTR isn't going to suddenly panic and sell (let alone hit some kind of "stop loss" and have to begin selling) just because they're temporarily below their profit line. It will have no immediate effect on their holdings. Though sure, their stock price will have surely tumbled more by that point. It's not like MSTR wasn't -85% down from 2021 stock-highs through most of the 2022-2023 bear market. They still came out unscathed, even after dropping below their profit-line back then, too.

devCheckingIn

Yes, that's their average cost. But even if it goes under they don't have to sell any until debts are due. I think Saylor's biggest concern right now is the very real possibility that MSTR could be pulled from some of the index funds like Nasdaq-100, etc.

VariatCA

Some companies might be beholden to their shareholders, but guess who holds MSTR's decision-making authority? Yeah, Saylor, and he's said they have neither the interest in selling nor the need to. They're *still* over 10k above their buy-average, and could weather *years* being far below that figure, especially with the reserved right to suspend dividend payments rather than selling BTC to cover expenses.

bytemute

Public companies don't operate like individuals. They can and are forced to sell their holdings if their stakeholders agree to it. That is specially true for a leveraged company like MSTR.

VariatCA

If you bought something in cash and kept it at your house, then its value suddenly dropped -30%, would you be *forced* to sell (liquidate) it? No lmao. It's still your property, but just worth less. This is MSTR and their BTC holdings. There's no StOp LoSs / Liquidation point, they *own* it.

bytemute

I just want to know MSTR's SL levels. How close are we?

bytemute

Welcome to interconnected leverage markets. There is no such thing as enough money so people take whatever they have and buy positions in a separate market (real estate, bonds, another country's stock market). Then they get a loan backed by that equity and buy in their original market where they got their profit. Boom you have a company like MSTR. They are not alone. Everyone is on 2-3x leverage now. That's how you get these volatile swings. It is either a virtuous cycle or a vicious cycle. No middle ground.