‘Investors are a little relieved to get good news like this.’
The collapse of Bitcoin (BTC) did not bother US software manufacturing firm MicroStrategy as it has yet to receive a margin call (MC) warning from crypto bank, Silvergate Capital Corp.
According to MicroStrategy President Phong Le, they will receive the warning if the BTC falls below $ 21,000 but so far there has been no news from the broker.
It indirectly eased investor anxiety after the collapse of the crypto market which sparked concerns about the liquidation of the asset.
For the record, MicroStrategy is the largest Bitcoin investor to borrow $ 205 million from Silvergate Capital Corp. with a 3-year guaranteed loan of approximately 19,466 BTC.
On Tuesday, the value of BTC had actually dropped to $ 20,816.36 before stabilizing back to $ 22,000, but no news was released by Silvergate Capital Corp at that time.
Meanwhile, MicroStrategy’s official statement stated that they are always ready to add BTC to maintain the loan ratio at any time.
According to MicroStrategy CEO, Michael Saylor, he stated that the company will remain ‘hold’ because it has made various calculations in the face of the uncertainty of the crypto market.
Statement after statement from MicroStrategy is seen to have managed to alleviate market turmoil despite the prospect of rising interest rates which has caused risky assets to receive less attention.
Meanwhile, shares of MicroStrategy gained 6% and shares of Silvergate gained 3% during the US trading session on Tuesday.
