- KindlyMD secures $210M Bitcoin-backed loan from Kraken for strategic shift.
- Kraken facilitates major Bitcoin-backed loan to KindlyMD for expansion.
- KindlyMD transitions to Bitcoin focus, leaving Antalpha with Kraken deal.
Utah-based KindlyMD has secured a significant financial boost through a $210 million loan facility with Kraken, the cryptocurrency exchange giant. This loan, finalized on December 9, comes with a one-year term, an annual fee of 8%, and is exclusively backed by bitcoin collateral worth at least $323.4 million. The bitcoin collateral is managed by Kraken’s affiliate, Payward Financial, under a shared custody agreement between all parties.
The proceeds from the loan will allow KindlyMD to fully settle an outstanding debt with Antalpha Digital. This loan repayment marks a pivotal shift for the company, as it ends its relationship with Antalpha and transitions its borrowing operations to Kraken. The move is part of KindlyMD’s broader strategy to focus on operating a bitcoin treasury vehicle, following its merger with Nakamoto Holdings earlier this year.
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Strategic Shift Toward Bitcoin-Centered Growth
The $210 million loan deal signals a major pivot in KindlyMD’s corporate strategy. After merging with Nakamoto Holdings in August, KindlyMD left its healthcare roots behind, choosing to focus solely on digital assets, particularly Bitcoin. The company has been aggressive in its Bitcoin acquisitions, purchasing a total of 5,765 BTC by the end of September at an average price of $118,204 per coin.
As of November 12, the company held 5,389 BTC, with a portion already used for investments.
This bold step of moving away from traditional financing sources and opting for a Bitcoin-backed loan highlights the growing trend of cryptocurrency’s role in corporate finance. Kraken’s involvement in this deal reflects the increasing acceptance of cryptocurrency-backed loans as viable financial tools.
For KindlyMD, this loan provides the necessary liquidity to continue its Bitcoin-focused expansion while ensuring a smooth transition from its previous financial agreements.
The partnership with Kraken reinforces the increasing importance of crypto-exchanges in the broader financial ecosystem, as companies like KindlyMD use digital assets not only as an investment but also as collateral for large-scale financing.
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