MicroStrategy has established a $1.44 billion reserve to cover preferred stock dividends and existing debt interest, signaling preparations for a prolonged bear market, according to a CryptoQuant report. The report suggests the current bear market began in early November, with Bitcoin potentially trading between $70,000 and $55,000 next year if the trend continues. CFO Andrew Kang stated that the reserve serves as a liquidity risk management tool, which will be bolstered when mNAV exceeds 1. At the current Bitcoin price of approximately $92,700, the company can sustain operations and dividends for over three years, with Bitcoin sales considered a last resort.
MicroStrategy Prepares $1.44 Billion Reserve Amid Bear Market Concerns
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