Strive CEO: Digital lending price volatility is driven by leveraged liquidation events, not by underlying credit quality deterioration

Odaily reported that the Strive CEO posted on X, stating that today is the most challenging day in the history of digital credit. STRC rebounded sharply after trading as low as $82.50, and SATA also bounced back after falling from near par value to the low $90 range. What happened today was a leverage liquidation event, not a deterioration in underlying credit quality. Strive’s dividend reserves remain intact, the company is not under pressure, and still has the ability to fulfill its obligations and continue executing its strategy. The issuer's credit status remains solid, with the underlying credit situation largely unchanged from before today's volatility. Both STRC and SATA saw significant buying near the day’s lows, pushing prices back up. A liquidation event is not the same as a credit event; today’s price movements have not changed their confidence in the long-term opportunities of digital credit.