Nakamoto Owes Kraken $165 Million, More Than Its Market Value
Bitcoin treasury firm Nakamoto amended its Kraken loan, pushing a $60 million USDT tranche to December 2027 and leaving no principal due in 2026. The company's $165 million debt still exceeds its stock market valuation, according to reporting from CoinDesk and Crypto Briefing.
Written by CoinArticle’s AI Newsroom · from 2 cited sources. How we work
Debt Now Exceeds Equity Value
Nakamoto, the Nasdaq-listed Bitcoin treasury company run by David Bailey, owes Kraken $165 million, more than the market value of the company, according to CoinDesk. The two sources frame the gap in slightly different terms: CoinDesk says the debt is larger than the firm's entire market capitalization, while Crypto Briefing reports that the company's shares have at times traded below the net asset value of the Bitcoin it holds. Both point to the same conclusion, that the equity is valued below the debt.
CoinDesk reports that about 70% of Nakamoto's coins are pledged to the exchange, bought at roughly $118,000 each, while Bitcoin now trades under $69,000. Crypto Briefing does not cite that pledge figure, so it should be treated as CoinDesk's reporting.
What the Amendment Changes
Nakamoto amended its credit agreement with Kraken (Payward Interactive, Inc.) on November 12, 2026. The main change concerns a $60 million tranche denominated in USDT, which was originally due December 4, 2026 and now matures December 4, 2027. According to Crypto Briefing, the company has no principal due in 2026 as a result.
The facility stands at $165 million, down from an original $210 million after a June 2026 sale of approximately 600 BTC and related derivatives for around $48 million, which repaid $45 million of debt. The remaining balance is split into a $105 million tranche due by June 30, 2027 and the $60 million tranche due December 4, 2027. Crypto Briefing notes that this moves the company's obligations into a concentrated 2027 maturity window.
The amendment also changes collateral treatment. Kraken will now count the net value of Nakamoto's Bitcoin derivatives positions, held with another Kraken entity, when measuring collateral sufficiency. Those positions include protective put options, which gain value if Bitcoin falls.
Limits of the Collateral Relief
Crypto Briefing, citing CoinDesk, reports that the protective puts expire before the debt matures, leaving a period in which the hedge no longer covers the exposure. The company's approximately 4,467 BTC remaining after the June sale is unchanged by the amendment, and the full $165 million remains on the books.
The company was formed through a reverse merger in May 2025 and also runs media, asset management and advisory operations. It authorized a $25 million share buyback following the debt restructuring. Shareholders now face a balance sheet in which the company has negotiated extended terms and holds a sizable Bitcoin position, but where debt exceeds the market's valuation of the equity.
Why It Matters
For Traders
Nakamoto's $105 million tranche due June 30, 2027 and the expiry of its protective puts before maturity are the next concrete watch points for its collateral position.
For Investors
A treasury company whose debt exceeds its equity value shows how leveraged Bitcoin treasury strategies can concentrate lender risk when prices fall.
For Builders
Counting derivatives positions held across affiliated entities toward collateral creates new cross-entity netting dependencies that protocols and lenders should model explicitly.
This article is for information only and is not financial advice. Read the full disclaimer.
