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Feb 06
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AVOID
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Joshua Lim
Global Co-Head of Markets at Falcon X
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"There is no more dry powder to come into the tokens themselves because the shares are below net asset value." In the bull run, companies like MicroStrategy (MSTR) traded at a premium to NAV, allowing them to issue shares (infinite money glitch) to buy more Bitcoin, which raised the BTC price, which raised their share price. That feedback loop has inverted. If they trade below NAV, they cannot accretively issue shares to buy BTC. The structural bid from these "DATs" (Digital Asset Treasuries) is gone until premiums return. A massive spike in BTC price could restore the NAV premium quickly. |
Unchained (Chopping Block)
'No More Dry Powder to Come Into Tokens': Why...
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