Strive Blames Leverage Liquidations After SATA and Bitcoin Giant Strategy's STRC Plunge
Key takeaways
- “Today was the most difficult day in the history of digital credit,” Cole posted on X on Thursday afternoon. “What happened today was a leverage liquidation event, not a deterioration in underlying credit quality.”
- According to Cole, when investors see an attractive yield opportunity with limited volatility, they often seek to lever up, or increase their position with borrowed capital.
- “Many eventually decide that owning it is not enough.
Strive Blames Leverage Liquidations After SATA and Bitcoin Giant Strategy's STRC Plunge Logan Hitchcock Fri, June 19, 2026 at 11:32 PM GMT+7 3 min read BTC-USD ASST MSTR “Digital credit” preferred share offerings from Bitcoin treasury firms suffered their worst day ever on Thursday, according to Strive CEO Matt Cole, who called out leveraged positions as the culprit behind price plunges while defending the quality of the underlying credit instruments.
Cole’s comments follow the Thursday price plunges for SATA and STRC, the respective preferred equity and digital credit products from his firm and Bitcoin treasury giant Strategy, falling well below their par values, or the price they are designed to trade near.
“Today was the most difficult day in the history of digital credit,” Cole posted on X on Thursday afternoon. “What happened today was a leverage liquidation event, not a deterioration in underlying credit quality.”