According to the company, the 364-day loan carries a 7.0% fixed annual rate and replaces costlier Coinbase Credit financing, releasing about 3,300 Bitcoin from collateral.
Hut 8 said it has entered a $200 million Bitcoin-backed credit facility with FalconX, a digital asset prime brokerage firm. The 364-day financing carries a 7.0% fixed annual interest rate, lower than the 9.0% rate on the company’s previous Coinbase Credit loan. Hut 8 said the refinancing released about 3,300 Bitcoin from collateral, valued at roughly $260 million based on the company’s announcement. Bitcoin-backed credit facilities let companies borrow cash against their Bitcoin holdings rather than sell the asset, which can improve liquidity management while reducing financing costs if terms are more favorable.