Did MicroStrategy Find a Silver Lining in Silvergate's Meltdown?
Software developer MicroStrategy (NASDAQ: MSTR) is buying Bitcoin (CRYPTO: BTC) by any means necessary. Among these fiscal tricks, the company took out a $205 million three-year-term loan backed by Bitcoin collateral almost precisely a year ago.
Unfortunately, the banking partner in that loan was a crypto-friendly bank named Silvergate Capital (NYSE: SI). Silvergate has experienced a brutal bank run over the last few months, which led to its shutting down operations and liquidating its banking assets.
So MicroStrategy had to raise some cash elsewhere in order to pay back its Silvergate loan two years early. That sounds scary at first blush, but there were some upsides to this forced maneuver.
Source Fool.com
