Hut 8 refinances Bitcoin-backed loan with $200M FalconX deal
The Bitcoin miner said the FalconX facility lowers its fixed interest rate to 7% and releases about 3,300 BTC from collateral restrictions.
Nasdaq-listed Bitcoin mining and energy infrastructure company Hut 8 secured a $200 million Bitcoin-backed credit facility from institutional crypto prime brokerage FalconX, replacing its prior credit facility with Coinbase Credit.
The new facility reducwd the company’s fixed interest rate to 7% from 9% under the prior Coinbase credit structure, as part of the company’s focus on lowering the cost of debt on its Bitcoin-backed credit and broader cost of capital, said Hut 8 in a Monday announcement.
The refinancing unencumbered about 3,300 BTC, worth roughly $260 million, from the collateral package after replacing the prior Coinbase facility, Hut 8 said.