Strike Widens Margin Call Window on Bitcoin Loans Amid Volatility

Published at 2026-02-07 22:45:11

BTC lending platform Strike updated its bitcoin-backed loan policies this week, extending the margin call recovery period and revising loan-to-value (LTV) thresholds to offer borrowers additional flexibility. The change comes as crypto markets have seen heightened swings, and Strike says the adjustments are designed to reduce the likelihood of immediate liquidations when prices move sharply. The policy shift matters because longer recovery windows can lower forced selling pressure on BTC and help borrowers avoid rushed exits during short-lived dips, which may stabilize liquidity in the near term. At the same time, the move increases credit exposure for the lender, so risk monitoring and collateral valuation will remain key. For users of crypto loans, the update offers more breathing room; for the lending sector, it signals continued adaptation to volatile market conditions.

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