Coinbase’s $2B Debt Move Shakes Off Crypto Treasury Fatigue – A Bold Lifeline or Desperate Gambit?

Wall Street meets blockchain in Coinbase's latest power play. The crypto giant just pulled off a $2 billion debt offering—while rivals scramble for loose change under regulatory couch cushions.

Debt as a lifeline? Classic finance move.

The offering lands as crypto treasuries hemorrhage value and institutional players play hot potato with risk. Coinbase's bet? That debt markets still believe in digital assets when equity investors get cold feet.

One banking insider quipped: 'Nothing solves a liquidity crunch like promising to pay people back later... with interest.'

The move could either cement Coinbase's dominance or become a cautionary tale—depending which way Bitcoin swings next.

Coinbase Global, Inc. has announced a proposed private offering of $2 billion in convertible senior notes, a move that is refreshingly welcome as considerable fatigue builds up on the crypto corporate treasury front. The offering, split into two series ($1 billion each) maturing in 2029 and 2032, allows Coinbase to raise capital without immediate shareholder dilution.

The notes, which are senior and unsecured obligations of Coinbase, will be convertible into cash, shares of the company’s Class A common stock, or a combination of both and will accrue interest payable semi-annually in arrears. The interest rate, initial conversion rate, and other terms governing both series of notes are to be determined upon pricing of the offering

To mitigate potential dilution upon conversion, Coinbase plans to enter into capped call transactions, a common strategy for companies issuing convertible debt. The proceeds are earmarked for general corporate purposes, including working capital and potential investments or acquisitions.

This announcement comes at a time when a growing number of public companies are adopting crypto-centric treasury strategies. Pioneered by MicroStrategy, which recently rebranded as "Strategy" to reflect its primary focus as a Bitcoin treasury company, this trend has seen firms like GameStop and Trump Media raise billions through similar convertible notes to acquire digital assets.

Other companies, such as Tesla and Semler Scientific, have also allocated portions of their corporate cash to Bitcoin, validating digital assets as a legitimate reserve asset. The growing list of firms embracing this strategy, from a variety of sectors, underscores a fundamental shift in how corporations manage their balance sheets, and in how tokens go "public".

Coinbase’s MOVE into the capital markets follows a busy year of acquisitions for the company. Earlier acquisitions this year include crypto advertising company Spindl and the Iron Fish blockchain team.

In May, Coinbase announced its $2.9 billion acquisition of derivatives platform Deribit, the largest crypto industry acquisition in the sector's history. Token manager Liquifi rounded off Coinbase's 2025 shopping list so far, after announcing the deal earlier last month.