Riot Platforms Inc. (NASDAQ: RIOT), a major cryptocurrency mining company based in Colorado, announced earlier today that it plans to offer $500 million of convertible senior notes due 2030. The $4.3 billion company intends to involve institutional buyers in a private offering, with a three-day day option to purchase up to $75 million of the notes.
The company specified that the proceeds of the offering will be used to acquire additional Bitcoin, in a bid to strengthen its BTC strategy.
“The notes will be unsecured, senior obligations of Riot. The notes will mature on January 15, 2030, unless earlier repurchased, redeemed, or converted in accordance with their terms,” the company noted.
Riot Platforms and the Bitcoin Strategy
The staggering success rate of MicroStrategy’s Bitcoin strategy has influenced other companies around the world to follow a similar path. Furthermore, more nations led by El Salvador, the Royal Government of Bhutan have adopted a similar Bitcoin strategy, signaling the potential of Bitcoin to disrupt the entire global financial system.
Last week, Riot Platforms announced that it increased its Bitcoin holdings by 5 percent last month to reach 11,425 BTCs. The company reported mining about 495 Bitcoins in November 2024 after increasing its overall hash rate to about 30.8 exahashes per second (EH/s) across its facilities in Rockdale, Corsicana, and Kentucky.