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junk bonds
Junk bonds are corporate or government bonds that carry a higher risk of default compared to investment‑grade bonds. Because of this higher risk, they offer higher potential yields to attract investors. They are typically issued by companies with weaker credit ratings or by firms in financial distress.
S&P Downgrades MicroStrategy to “Junk” Rating Over Bitcoin Exposure
S&P Global has assigned MicroStrategy a “B-” credit rating — classifying its bonds as speculative or “junk” — due to the company’s heavy dependence on Bitcoin, limited diversification, and relatively weak liquidity position...
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