The margin call from hell (Bitcoin at $21k)

>>the company’s holdings were worth just over $3 billion. Its market cap, on the other hand, is roughly $1.77 billion.

Why doesn't someone aquire the company and sell all of the Bitcoin? Seems like an easy way to make a lot of money.

Crypto is dogshit. The stupidest asset since the tulip bubble, but at least tulips can make your house or funeral look nice.

The collateral limit getting triggered isn’t a particularly big deal: it just means that MSTR needs to quickly furnish more BTC as collateral or they’ll be in breach of loan covenants. But they HAVE a ton of BTC, so there’s no effect on the market. The only way this gets interesting at all is if the total bitcoin owned by mstr starts approaching the price of the loan (which it’s not even close to, but that’s the point where silvergate could lose some money…)

Really all the margin call does is reduce the amount of additional debt collateralized by bitcoin that MSTR could take on. It’s clickbait!

So it did dip below 21k, what happens now? I imagine they have a grace period, I doubt they bank would want it start the spiral

Perhaps someone can elaborate on the chances this getting triggered.