A sudden decline in the value of Bitcoin could trigger liquidity crises for firms with large crypto holdings, putting many corporate treasuries at risk of falling underwater.

Quotes that support claims

Standard Chartered estimated that if bitcoin were to fall back below $90,000 it would put half of companies' bitcoin treasuries underwater.

Charles Schwab, in a report last month, noted that if a company has significant crypto holdings that suddenly collapse in value, the firm could experience a liquidity crisis.