KindlyMD Secures $210 Million Bitcoin-Backed Loan from Kraken in Landmark Crypto-Credit Deal
Forget traditional banks. A healthcare company just unlocked a massive credit line using digital gold as collateral.
Bitcoin as a Balance Sheet Asset
KindlyMD didn't sell its Bitcoin. It borrowed against it. The deal with crypto exchange Kraken sees $210 million in fresh capital flow to the company, secured by its Bitcoin holdings. It's corporate treasury management, crypto-style—turning a volatile asset into working liquidity without triggering a taxable event.
The New Credit Architecture
This isn't a quirky one-off. It's a blueprint. Kraken, acting as both custodian and lender, demonstrates a mature financial product. The structure bypasses legacy credit checks, relying instead on verifiable, on-chain collateral. Speed and efficiency win.
Why This Matters Beyond the Headline
The signal is clear: Bitcoin's utility is expanding from speculative asset to foundational financial tool. For companies holding crypto, it unlocks capital without dilution. For the crypto economy, it validates a core promise—that digital assets can fuel real-world business growth. Even the most cynical Wall Street veteran has to admit that's more tangible than an NFT of a cartoon ape.
The era of crypto-native finance is here. And it's writing checks.
KindlyMD backs its loan in Bitcoin
KindlyMD said the $210 million loan is backed entirely by Bitcoin. The BTC treasury company will also be required to post collateral of around $323.4 million. The collateral stands at approximately 3,500 BTC at current prices.
At the time of publication, bitcoin is trading at around $91,934, up nearly 2% in the last 24 hours. On-chain data also revealed that BTC has plummeted more than 13.2% in the last 30 days.
According to BitcoinTreasuries, KindlyMD currently owns about 5,398 Bitcoin, making it the 19th-largest corporate BTC holder. Michael Saylor’s Strategy leads with 660,624 Bitcoins in its holdings, followed by MARA Holdings and Twenty One Capital with 55,250 BTC and 43,514 BTC, respectively.
Kraken joins other lenders with similar credit initiatives this year, including previous financings from Yorkville Advisors, Two Prime, and Antalpha Digital. The Bitcoin Treasury company partnered with Antalpha in early October to finance $250 million in debt.
KindlyMD announced that the digital asset financing will be used to create a new treasury tool for Bitcoin-focused firms. The company also agreed to a five-year convertible note issuance to Antalpha. The proceeds from the issuance will be used to refinance a previous $203 million BTC-secured credit line from Two Prime Lending.
“As a Bitcoin-native-native company and market leader with an unmatched reputation for exceptional client services, Antalpha is the ideal partner for creating competitive, long-term financing options that understand Bitcoin’s intrinsic properties as a treasury reserve asset.”
-David Bailey, Chairman and CEO of KindlyMD.
The provider of integrated healthcare services partnered with Two Prime Lending in early October for credit purposes. The firm said proceeds from the initiative will be used to service a $200 million convertible debenture. The loan also has an interest rate of 1.5%.
Tyler Evans, CIO of KindlyMD, acknowledged that the financing and the redemption of the convertible note marked a crucial step for the firm to enhance its balance sheet. The firm fully repaid the redemption for the convertible debenture on September 30.
Bailey expects a long-term series of financing to boost KindlyMD’s balance sheet
Bailey said that the initiative helps the firm address today’s financial needs and also helps lay the foundation for future structures tailored for Bitcoin treasury companies. He also expects a long series of initiatives aimed to benefit the firm’s portfolio, its shareholders, and the Bitcoin ecosystem at large.
The initiative follows Bailey’s September 15 Shareholder Letter, which highlighted the need to establish alignment among shareholders and financial partners to support KindlyMD’s long-term investment strategy. He added that the Bitcoin treasury firm has transitioned away from prior financing agreements that didn’t match KindlyMD’s strategy and is now focused on collaborations that share its long-term vision.
Bailey revealed that the company’s stock has rallied over the past month after the merger with Nakamoto Holdings. He maintained that KindlyMD believes in Bitcoin’s long-term potential as the global reserve asset.
Bailey also championed the company’s resilience through the previous Bitcoin cycles, saying that it will make its shareholders a tour de force in the next adoption cycle.
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