Hut 8 replaces Coinbase financing arrangement with a $200 million new credit agreement, reducing debt costs by 200 basis points

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Deep Tide TechFlow News, May 4th, according to PR Newswire, Hut 8 Corp. (Nasdaq/TSX: HUT) announced that its subsidiary has signed a $200 million Bitcoin secured credit agreement with FalconX, with a term of 364 days, replacing a similar arrangement with Coinbase Credit. The new agreement has a fixed interest rate of 7.0%, down 200 basis points from the previous Coinbase agreement’s 9.0%, and the largest cumulative reduction of up to 450 basis points compared to the historical interest rate range (10.5%–11.5%) from late 2023 to early 2025.

This refinancing also releases approximately 3,300 Bitcoins (valued at about $260 million as of May 1st), freeing them from collateral constraints and further enhancing the company’s asset-liability liquidity and financial flexibility. The new agreement retains key protections such as a limited recourse structure, prohibition of Bitcoin re-hypothecation clauses, and fixed loan-to-value thresholds.

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