Debt and Dust: Bit Digital Bets Big on Ethereum

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In the glass-and-steel graveyard of the market, Bit Digital (Nasdaq: BTBT) drums up a $135 million offering-4.00% convertible notes that will sleep until 2030. They are senior unsecured obligations, maturing in October 2030, with interest paid semiannually. The deal is expected to close on October 2, pending standard closing conditions; the theater where numbers pretend to destiny, and the workers sip coffee with their futures in their boots. 😂

Investors may convert their notes into cash, Bit Digital shares, or a combination of both. The conversion rate is 240.3846 shares per $1,000 of principal, implying a premium of 30% above the company’s last closing price of $3.20. Bit Digital estimates it will net around $128.9 million in proceeds, or $143.3 million if underwriters exercise their full option to purchase an additional $15 million. 🤑

– Whale Insider (@WhaleInsider) September 30, 2025

According to Bit Digital, the majority of funds will go toward acquiring Ethereum, with the remainder allocated to general corporate needs, including potential acquisitions or investments in digital assets. Barclays, Cantor, and B. Riley Securities are acting as joint lead book-runners for the offering.

Debt becomes a crypto treasury weapon

Bit Digital’s move mirrors a broader trend among publicly traded crypto firms turning to convertible debt markets to scale their digital asset exposure. On August 4th, Coinbase announced a plan to raise $2 billion through convertible senior notes due in 2029 and 2032. Like Bit Digital, Coinbase indicated that funds could support acquisitions and product expansion-because nothing says “progress” like a neatly packaged loan with a maturity date and a badge that says “secure.”

Together, these raises highlight a growing convergence between capital markets and crypto balance sheets. Rather than liquidating assets or relying solely on operating income, firms are increasingly leveraging structured debt to deepen their digital asset strategies while retaining long-term flexibility. 🏭💰🤔

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2025-09-30 19:49