POPA ReconMetaplanet sold 10,000 BTC and bought 11,000 at a 9.3% higher average price to demonstrate liquidity to prospective creditors. It did not…
Metaplanet sold 10,000 BTC and bought 11,000 at a 9.3% higher average price to demonstrate liquidity to prospective creditors. It did not use the sale proceeds to repay debt, and cheaper financing has not been established. Bitcoin reserves do not remove financing obligations. Strategy’s $5.71B in cash and reserves as of Oct. 4 provides flexibility, but part is dedicated to dividends and interest. Neither company’s disclosures establish an imminent forced liquidation. https://cryptoslate.com/bitcoin-companies-are-learning-that-holding-forever-takes-cash/
The excerpt is quoted from a public Telegram channel, which owns its text.