Utah-based KindlyMD has announced a significant new financing agreement, entering into a loan facility with Payward Interactive, the entity operating the Kraken cryptocurrency exchange. According to an SEC filing, KindlyMD’s subsidiary, Nakamoto Holdings, successfully closed a $210 million USDT-denominated loan facility with Kraken on December 9th. This facility is structured as a one-year fixed-term loan, carrying an annual fee of 8.00%, and is set to mature on December 4, 2026.
The filing explicitly states that the loan is fully secured by bitcoin collateral, valued at no less than $323.4 million. This substantial collateral is held under a shared account control agreement that involves Nakamoto Holdings, Kraken, and Kraken-affiliated Payward Financial, which is acting as the custodian. This new facility is intended to replace KindlyMD’s existing debt obligations.
The disclosure document details the intended use of the proceeds from this Kraken loan: “The Company will use the proceeds from the Kraken Loan to satisfy its obligations in full under the outstanding term loan facility extended under the Master Loan Agreement, dated October 6, 2025, with Antalpha Digital.”
Investor Takeaway
This strategic move sees KindlyMD shifting its borrowing from Antalpha to a bitcoin-collateralized loan arrangement with Kraken, effectively granting the firm a new credit line supported by its treasury assets.
Reasoning Behind the Shift from Antalpha
KindlyMD had previously entered into a partnership with Antalpha in October, which involved Nakamoto Holdings issuing $250 million in five-year secured convertible notes to the Singapore-based fintech firm. By fully repaying this loan, KindlyMD is severing its ties with Antalpha and consolidating its borrowing activities under the new Kraken facility. This action aligns the company’s financing structure more closely with its established operational framework centered around its bitcoin treasury.
Since its merger with Nakamoto Holdings in August, KindlyMD has undergone a significant business pivot, moving away from its healthcare focus towards the management of bitcoin-based financial instruments. The new Kraken loan, which is entirely secured by BTC, directly aligns the company’s debt obligations with its asset base. Furthermore, this move signifies the firm’s strategic decision to operate with a single secured lender, rather than managing multiple credit lines with varying structures and terms.
KindlyMD's Bitcoin Treasury Size
The company has demonstrated a rapid accumulation of bitcoin since its reorganization around its treasury operations. By the end of September, KindlyMD had acquired 5,765 BTC, with an average cost per bitcoin of $118,204. After deploying 367 BTC for investment purposes, the firm reported holding 5,389 BTC as of November 12, 2025. The scale of these holdings directly accounts for the substantial collateral backing the Kraken loan.
With bitcoin pledged at a minimum value of $323.4 million, the facility is notably over-collateralized in relation to the $210 million USDT borrowed. KindlyMD’s recent SEC filings indicate a consistent strategy of positioning its treasury to support credit arrangements that are directly tied to its bitcoin holdings. The agreement with Kraken continues this established pattern.
Investor Takeaway
KindlyMD's loan is over-collateralized by more than $100 million in BTC, providing Kraken with a robust buffer while enabling KindlyMD to access USDT liquidity without necessitating the sale of its bitcoin holdings.
Implications of the Deal for KindlyMD and Kraken
For KindlyMD, replacing the financing from Antalpha with a USDT loan secured by bitcoin offers a more streamlined treasury structure, directly integrated with Kraken’s custody and lending services. This agreement also allows the company to avoid liquidating its BTC holdings at a time when its corporate identity is closely associated with its bitcoin treasury vehicle.
From Kraken's perspective, this arrangement brings another significant client into its expanding bitcoin-collateral lending business. Kraken already holds the pledged BTC through an affiliated custodian, which facilitates the extension of credit within a controlled operational framework while keeping custody risk contained within its corporate group. KindlyMD's stock, trading under the ticker NAKA, closed at $0.47 on Tuesday, marking a 3.5% increase for the day, according to Google Finance data.
The subsequent stages of this agreement will involve the meticulous management of the collateral account, continuous monitoring of BTC valuations against the loan terms, and preparation for the facility's maturity in December 2026. Any further expansion of the firm's borrowing capacity will be contingent upon prevailing bitcoin market conditions and its treasury strategies leading into 2026.