Signs of a credit-market crisis sparked by U.S. asset manager Blue Owl… “Could trigger a Bitcoin bull market”

Tension is rippling through financial markets after U.S. private equity firm Blue Owl Capital, which has been increasing investments in private loans to the IT sector, decided to permanently halt redemptions for one of its managed funds while moving to sell $1.4 billion worth of assets. Attention is also focused on the potential fallout from a credit-market disruption for the digital asset (crypto) market, including Bitcoin (BTC).

According to Bloomberg and other overseas media on the 21st (Korea time), Blue Owl Capital decided to suspend redemptions for one of its three managed funds, “Blue Owl Capital Corporation II (OBDC II).” It will also proceed with asset sales totaling $1.4 billion across the three funds to raise cash for redemptions and debt repayments.

Blue Owl Capital is a private equity firm focused on private lending, with a high allocation to AI infrastructure and technology sectors, including AI data centers. A private credit fund is a non-public investment fund that lends to companies in place of banks and seeks interest income.

On the news, Blue Owl Capital’s share price fell 15% this week.

Crypto-focused outlet CoinDesk reported that “some experts interpret this case as a ‘warning sign’ similar to the 2008 subprime mortgage crisis,” adding that “subprime mortgage losses at the time spread into a credit squeeze, triggering a global financial crisis.”

CoinDesk highlighted the potential impact of the situation on crypto markets such as Bitcoin. It said, “In the short term, if the credit squeeze deepens, risk appetite could weaken, which may be negative for Bitcoin prices,” but added, “if central banks later move toward accommodative monetary policy such as expanding liquidity provision, it could instead become a bullish factor for Bitcoin.”

In particular, it noted that Bitcoin’s emergence in the wake of the 2008 financial crisis is viewed positively. CoinDesk emphasized: “Bitcoin emerged amid the global financial crisis and growing questions about central banks’ financial policies,” adding, “if instability in credit markets spreads and policymakers roll out large-scale easing, Bitcoin could once again enter a bullish trend.”