Former Goldman Sachs analyst: CDO risks during the 2008 financial crisis may reappear in crypto treasury companies
former Goldman Sachs analyst Josip Rupena stated that due to the fact that cryptocurrency treasury companies hold anonymous assets with no counterparty risk, the risks faced by these companies are similar to collateralized debt obligations (CDOs), securitized mortgage baskets, and other types of debt that triggered the 2007-2008 financial crisis. Although cryptocurrency treasury companies will not be the cause of the next bear market, once over-expanded cryptocurrency treasury companies face debt repayment, they will be forced to sell their holdings of encrypted assets at lower prices, potentially triggering a market crisis.
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