Replying to Avatar Dr. Bitcoin, MD

Ok, I’m not crazy. I think maybe the upside is the fact that they won’t be able to repay in dollars and conversion rate is high? They might be able to finance some conventional loan to repay some debt, but maybe note holders are betting against that.
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Phil 1y ago

That has to be it. But not what I would have expected. Public market degeneracy

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Dr. Bitcoin, MD 1y ago

55% over 5 years, well collateralized…that’s like what, 9%? Better than treasuries.

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Phil 1y ago

That’s probably the right way to think about it. But MSTR would only convert at that price if the market price was above it. Otherwise, they would just keep as debt and pay the par value. Which probably involves liquidating some bitcoin…if they can’t otherwise refinance the debt.