Microstrategy CFO Phong Le in a
quarterly call before the dive:
Quote:
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"As far as where Bitcoin needs to fall, we took out the loan at a 25% LTV, the margin call occurs 50% LTV," Le said. "So essentially, Bitcoin needs to cut in half or around $21,000 before we'd have a margin call. That said, before it gets to 50%, we could contribute more Bitcoin to the collateral package"
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So he's saying even if the price drops below 21K they just move BTC from the asset pile into the collateral pile. Which is fine, so long as they have a big asset pile.