RE: Buying Bitcoin As A Company Doesn't Make You Bullet Proof
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Also we have to take into account that they don't have actual profits yet till they sell their coins!
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That's if they want profits, how many companies are completely unprofitable and still continue to run? Profit is a tax liability so it's all about debt funding and rolling it over
Many of these big companies would implode should the interest on their debt actually normalise and are functionally insolvent even adding BTC on your balance sheet doesn’t erase your debt
Selling would be a last resort they will try to borrow against their balance sheet or Refinance as the price goes up.
In some cases it would even be wise for the company to lend out their BTC and generate an income that way
If we do get a correction I’m sure there will be companies that have to sell at losses to stay afloat.
ohh i haven't thought about it that way.
Imagine how much more they could earn by simply doing that
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Well if Tesla did it today they would earn more on their BTC lending then they would selling cars for the year lol but Elon doesn’t care about money he just wants to make cool stuff
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tokens.