Michael Saylor assures that MicroStrategy is not at risk of liquidation, despite the recent Bitcoin and crypto market crash.
The MicroStrategy CEO today retweeted a May 10 post in which he presented the company's financial situation. In the original post, MicroStrategy claimed that it would only risk being liquidated on a $205 million loan it received to buy Bitcoin if the asset dropped below $3.562. Even if it dropped to the $3.562 level, MicroStrategy “could issue some other collateral” to avoid liquidation, Saylor said May 10.
MicroStrategy CEO said today:
When @MicroStrategy adopted a #Bitcoin Strategy, it anticipated volatility and structured its balance sheet so it could continue #HODL amid adversity.
When @MicroStrategy adopted the # Bitcoin Strategy, it planned and structured its balance sheet so that it could continue to #HODL through adversity. https://t.co/rPSUVPHUVw
- Michael Saylor⚡️ (@saylor) June 14, 2022
according to your report In the first quarter of 2022, the company held a total of 129.218 Bitcoins worth $2,9 billion at today's prices as of March 31, 2022. Its average purchase price is around $30.700, which means that Bitcoin would need to drop another 27%. for the company to see a paper loss on its investment.
