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Matador Technologies Expands Bitcoin Treasury with $100 Million Convertible Debt Facility
Matador Technologies has taken a bold step into the expanding corporate Bitcoin treasury movement, announcing a $100 million convertible note facility with ATW Partners to scale its Bitcoin acquisitions. The agreement marks a growing trend among companies adopting convertible debt structures to gain exposure to Bitcoin while minimizing shareholder dilution.
A New Era of Bitcoin-Backed Corporate Financing
The convertible note model, first popularized by Strategy, is becoming the preferred method for institutional Bitcoin accumulation. Under the new facility, Matador Technologies has closed an initial $10.5 million tranche dedicated exclusively to purchasing Bitcoin. The notes carry 8% annual interest, which will scale down to 5% following a potential NASDAQ or NYSE listing.
Matador aims to acquire 1,000 BTC by 2026 and 6,000 BTC by 2027, ultimately targeting ownership of 1% of Bitcoin’s total supply. The deal includes provisions for an additional $89.5 million in future drawdowns, enabling the company to accumulate Bitcoin in alignment with market conditions and price movements.
Strategic Advantages and Market Timing
The convertible debt structure offers clear strategic benefits over traditional equity financing. It allows capital raising without immediate dilution, while providing downside protection through debt and upside potential via conversion rights. Matador’s initial closing will convert to approximately $0.53 per share, with conversion mechanics tied to listing venues and prevailing market prices.
Matador’s move comes during a period of market volatility, similar to Strategy’s historical approach of buying Bitcoin during corrections. While U.S. spot Bitcoin ETFs saw $191 million in outflows on November 3, companies like Matador are viewing the downturn as an opportunity for long-term accumulation.
Institutional Confidence Grows
The facility is secured by Bitcoin collateral equal to 150% of the initial principal, offering robust protection for note holders. This structure highlights how corporate Bitcoin financing infrastructure has matured, attracting serious institutional players like ATW Partners.
Matador, which began its Bitcoin treasury strategy in December 2024 with a $4.5 million allocation, is now emerging as part of a new generation of firms redefining how corporations integrate Bitcoin into balance sheets—not as speculation, but as strategic long-term capital.
