MicroStrategy co-founder and CEO Michael Saylor is responding to fears that a part of the firm’s Bitcoin (BTC) holdings purchased using debt could be liquidated.
In a CNBC interview, Saylor says a margin call is highly unlikely given the Bitcoin position MicroStrategy acquired using debt is adequately collateralized.
“On a multi-billion dollar balance sheet, we only have got a $200 million loan that we have to collateralize. And we are 10x over-collateralized on it right now.
If the market traded down by a factor of 10, we’ve got cash and we generate cash flow.
The margin call is much ado about nothing, it’s just made me Twitter-famous. So I appreciate that. And the Twitter trolls love to beat up on me because it