- The term loan with interest-only terms is secured by a specific bitcoin that is held in MacroStrategy’s collateral account that is managed by a custodian Silvergate and MacroStrategy.
- Silvergate Capital Corporation (NYSE: SI) is the world’s largest supplier of cutting-edge services and solutions for financial infrastructure and services to the rapidly growing digital currency.
Silvergate Bank, a subsidiary of Silvergate Capital Corporation (NYSE: SI) which is the world’s most innovative provider of services and solutions for financial infrastructure as well as services to the rapidly growing industry of digital currency recently announced it had granted an initial term loan of $205 million for MacroStrategy LLC, a subsidiary of MicroStrategy Incorporated (Nasdaq: MSTR) the largest publically traded independent analytics and business intelligence firm.
The term loan with interest-only terms is secured by a specific bitcoin that is held in MacroStrategy’s collateral account that is managed by a custodian Silvergate and MacroStrategy are authorized to share. Following the conditions of the agreement, MacroStrategy will use the loan’s proceeds to buy bitcoins. (ii) to pay for fees and interest and expenses associated with the loan, or (iii) for general business reasons through MicroStrategy or MicroStrategy.
“We’re happy to be able to welcome MicroStrategy to our expanding number of SEN Leverage borrowers,” said Alan Lane, CEO of Silvergate. “Their innovative approach to managing treasury is a perfect example of how banks can utilize bitcoin to help develop and grow their businesses.”
“The SEN Leverage loan allows us to increase our standing as the leading public corporation bitcoin investor,” stated Michael Saylor, the MicroStrategy CEO, and chairman. “By using the loan money and converting it into bitcoin, we’ve transformed our bitcoin into an effective collateral, enabling us to implement our business plan even more.”