Arca's Chief Investment Officer: There is no need to sell BTC under the Strategy unless the fall in BTC reaches a level where the sale is no longer relevant.

Odaily News Arca Chief Investment Officer Jeff Dorman stated in a post this morning: “For years I have been debunking the misunderstandings about Strategy (MSTR), yet every time BTC falls, the same nonsense resurfaces — some will say MSTR will be forced to sell BTC, or that its holdings will be liquidated, as if this were some leveraged perpetual futures… Any debt or equity expert would understand in under five minutes that unless the fall in BTC reaches a level where MSTR's selling behavior becomes insignificant, MSTR does not need to sell BTC at all.” Dorman added that the reasons MSTR does not need to sell BTC are mainly as follows: 1. Considering Saylor holds 42% of the shares, it is almost impossible for aggressive investors to control the board; 2. There is no provision for forced selling in the debt terms; 3. Interest expenses are within a controllable range (don’t forget that its core technology business still generates positive cash flow); 4. Very few companies default on debts when they are due (investors are like a herd, they almost always choose to roll over their debts — solving problems by deferral).