CryptoQuant founder and CEO Ki Young Ju pushed back on a renewed wave of forced Bitcoin liquidation and bankruptcy chatter around Strategy (formerly MicroStrategy, MSTR), arguing that the bearish thesis misreads the company\u2019s capital structure and shareholder incentives.<\/p>\n
In a Nov. 20, 2025 post<\/a> on X, Ju wrote, \u201cMSTR only goes bankrupt if an asteroid hits Earth,\u201d adding that critics should \u201cbring a single piece of evidence\u201d before claiming Michael Saylor would be liquidated. The comments came as Bitcoin and high-beta crypto proxies retraced into late November, reviving legacy narratives that Strategy\u2019s debt stack<\/a> could compel BTC sales.<\/p>\n Ju\u2019s central claim is that Strategy is not structurally set up like a margin trader. Addressing the most common fear\u2014that convertible notes \u201cmissing\u201d their conversion price forces liquidation\u2014he stated: \u201cConvertible debt not reaching the conversion price is not liquidation. It simply means the notes get repaid in cash [\u2026] Failing to convert is not a bankruptcy trigger. It is just normal debt maturity.\u201d<\/p>\n In his view, the repayment pathways are conventional corporate finance tools: refinancing, rolling into new notes, secured borrowing, or operating cash flow. That framing aligns with how convertibles function in practice; if equity is below strike at maturity, the embedded option expires and the instrument reverts to straight debt rather than a forced-sale event.<\/p>\n He also grounded his argument in governance and identity. \u201cSaylor would never sell Bitcoin unless shareholders want it,\u201d Ju wrote, warning that \u201cselling even a single BTC would destroy MSTR\u2019s identity as a Bitcoin treasury company and trigger a death spiral for both Bitcoin and MSTR.\u201d Strategy has repeatedly defined itself as a BTC-treasury vehicle, and its shareholder base largely bought into that mandate, making voluntary divestment politically and strategically improbable absent a radical shift in investor preference.<\/p>\n Balance-sheet data underpins Ju\u2019s confidence. Strategy reported 640,808 BTC as of Oct. 30, 2025, acquired for about $47.44 billion; subsequent filings cited major November additions taking holdings to roughly 649,870 BTC. Even after accounting for the growing convertible and preferred layers, the BTC treasury remains the dominant asset, meaning solvency stress would require an extreme, prolonged Bitcoin collapse rather than a cyclical drawdown<\/a>.<\/p>\n Ju did not claim the equity is risk-free. \u201cThis does not mean MSTR\u2019s stock price will always stay high,\u201d he wrote, but called the idea that Strategy would sell BTC to support the stock or face imminent bankruptcy \u201ccompletely absurd.\u201d<\/p>\nWhy Strategy Will Never Sell Bitcoin<\/h2>\n