CIMG is basically broke 💀
They're sitting on 1,145.4 $BTC (worth ~$110M at current prices) but only have ~$5K in actual cash left. Now scrambling to raise capital ASAP.
Classic treasury company problem: illiquid in liquid assets. Can't pay bills with $BTC if you refuse to sell.
Either they:
1. Dump $BTC (bearish for holders)
2. Dilute equity (bearish for shareholders)
3. Take on debt at terrible rates
This is what happens when you LARP as MicroStrategy without the cash flow to back it. Treasury plays work until they don't.
Watch this space. If they're forced to liquidate, it won't be pretty.
They're sitting on 1,145.4 $BTC (worth ~$110M at current prices) but only have ~$5K in actual cash left. Now scrambling to raise capital ASAP.
Classic treasury company problem: illiquid in liquid assets. Can't pay bills with $BTC if you refuse to sell.
Either they:
1. Dump $BTC (bearish for holders)
2. Dilute equity (bearish for shareholders)
3. Take on debt at terrible rates
This is what happens when you LARP as MicroStrategy without the cash flow to back it. Treasury plays work until they don't.
Watch this space. If they're forced to liquidate, it won't be pretty.