Digital credit market hit by record selloff as Strive CEO blames leverage liquidations

Digital credit market hit by record selloff as Strive CEO blames leverage liquidations

Matt Cole says forced selling from leveraged investors pushed STRC and SATA sharply lower before both rebounded.

Bitcoin's 'digital credit' yield trade breaks below par as margin calls hit $10 billion market

Bitcoin’s emerging digital-credit trade broke below its promise of calm this week. This week, Strategy’s STRC preferred shares fell as low as $82.50 before rebounding, while Strive’s SATA slid from around par into the low $90s and also recovered. Both products had been sold into the market as income instruments built around Bitcoin treasury companies, with double-digit dividends and an intended pull toward $100. The break jolted a market that ha…

Strive's Matt Cole Blames Leverage Liquidations for STRC and SATA Crash

Prices cratered. Then bounced. And nobody’s quite sure what comes next. Strive CEO Matt Cole said leveraged investor liquidations drove… Read the original on Strive’s Matt Cole Blames Leverage Liquidations for STRC and SATA Crash. For more crypto news and analysis, visit TheCurrencyAnalytics.com.

Strive CEO Blames STRC and SATA Sell-Off on Leverage Liquidation

Why Did SATA and STRC Fall So Sharply? Strive Chairman and CEO Matt Cole said Thursday’s sharp intraday drop in Strive’s SATA and Strategy’s STRC reflected forced selling from leveraged investors rather than a deterioration in issuer fundamentals. “Today was the most difficult day in the history of Digital Credit,” Cole wrote on X Thursday evening. “What happened today was a leverage liquidation event, not a deterioration in underlying credit qu…

Strive’s Digital Credit Tokens Flash-Crash On Leverage Cascade As CEO Insists Fundamentals Intact

Tokenized credit took a sudden hit on Friday as Strive’s Digital Credit tokens STRC and SATA dropped sharply before bouncing back in a violent intraday swing. According to the original report, the episode was a leverage-driven liquidation cascade rather than any deterioration in underlying credit quality. The selloff hit just as the tokenized real-world asset market crossed $20 billion on-chain, underscoring the tension between rapid growth and …

Strive Blames Leverage Liquidations After SATA and Bitcoin Giant Strategy's STRC Plunge

“Digital credit” preferred share offerings from Bitcoin treasury firms suffered their worst day ever on Thursday, according to Strive CEO Matt Cole, who called out leveraged positions as the culprit behind price plunges while defending the quality of the underlying credit instruments. Cole’s…