ChainCatcher reports that, according to CoinDesk, the U.S. private credit giant Blue Owl Capital announced the sale of approximately $1.4 billion in loan assets to meet redemption demands from investors in its retail-oriented private credit fund.
The fund will return about 30% of its net asset value (NAV) to qualified investors, with the asset sale price at 99.7% of face value. As a result, Blue Owl’s stock (OWL) dropped nearly 15% this week, with a year-to-date decline of over 50%; other private equity firms such as Blackstone, Apollo Global, and Ares Management also saw significant declines.
Experts compare this to the “canary in the coal mine” signals before the 2007 financial crisis, warning that excessive expansion in the private credit market—especially related to AI investments—could trigger systemic risks, credit tightening, and banking contagion.
If pressures intensify, forcing central banks to cut interest rates and inject liquidity, it could replicate the post-pandemic scenario of 2020, injecting momentum into Bitcoin and the crypto markets and fueling the next bull run.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Moody's Chief Economist: Continued Blockade of the Strait of Hormuz Would Make US Economic Recession Inevitable
Moody's economists warn that a blockade of the Strait of Hormuz would worsen the U.S. economic outlook, making recession difficult to avoid. The current recession probability has reached as high as 49% and is expected to exceed 50%. Unlike the past, the U.S. economy lacks post-pandemic stimulus support, employment data is weak, and future growth may be only 0.7%.
GateNews2h ago
Trump Intensifies Pressure on Fed, Demanding "Immediate" Rate Cuts
Trump is calling for the Federal Reserve to immediately convene a special meeting to cut rates, emphasizing that now is the time for action and noting that lower interest rates would help reduce national debt servicing costs and stimulate the economy. Despite his pressure, market expectations for this rate cut remain low, as the Federal Reserve faces challenges from inflation and rising oil prices and may not quickly adjust policy. The crypto market has already priced in expectations of no rate cut, with focus shifting to the Federal Reserve's future policy direction.
区块客2h ago
Macro Analysts Warn of Private Credit Crisis, Bitcoin May Become Top Safe-Haven Choice
As artificial intelligence intensifies its impact on software revenue, the private credit market faces mounting pressure with default rates climbing to 5.8%. Analysts warn that additional monetary expansion may be necessary, while Bitcoin has emerged as a hedging tool for investors, with its appeal growing amid uncertainty. The market needs to monitor developments in private credit dynamics and the impact of policy adjustments on Bitcoin's price.
GateNews2h ago
U.S. Treasury Conducts $15 Billion Bond Buyback Today, Setting Historic Record for Largest Scale
Gate News reported that on March 17, the U.S. Department of the Treasury will execute a $15 billion Treasury buyback (the government repurchasing bonds it has issued to regulate market liquidity), surpassing last week's $14.7 billion and becoming the largest Treasury buyback program in history.
GateNews3h ago
SEC Plans to Cancel Quarterly Earnings Report System: US Stock Transparency May Be Reshaped, Bitcoin and Ethereum Face New Variables
The US SEC plans to abolish the requirement for listed companies to publish quarterly financial reports, replacing it with two reports per year, expected to be implemented in April 2026. This measure may lower compliance costs for companies but has also sparked controversy, as it could increase information asymmetry and market volatility, affecting stock and digital asset markets.
GateNews3h ago
Trump Pressures Federal Reserve for Emergency Rate Cut: Interest Rate Policy Becomes Market's Biggest Variable
Trump renews calls for Fed rate cuts and convenes "special meeting," drawing market attention. Against a backdrop of diverging inflation and employment data, the Federal Reserve faces policy trade-offs. Geopolitical risks push energy prices higher, affecting future rate decisions. Markets await policy guidance following the Fed meeting.
GateNews4h ago
