r/Bitcoin•
starboy__007

Bitcoin treasury companies contagion risks?

Does Bitcoin treasury companies not add systemic risks where fall in bitcoin value can cause downward spiral can make tons of companies to sell btc? these companies have no cash flow to support themselves, and if the NAV falls below 1 during a Bitcoin downturn, any dilution would negatively impact them. Furthermore, if they're unable to manage their debt, it could worsen the situation and potentially trigger contagion.

Posted Jul 9, 2025, 11:17 PM UTC

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