MicroStrategy intends to offer $500 million of senior secured notes with an annual interest rate of 6.125% in a private offering to qualified institutional buyers to finance the purchasing of more bitcoin. It is the first time ever junk bonds will be used to fund a cryptocurrency acquisition, the Virginia-based software company announced in a release Monday. The straight debt being priced at 6.125% is a high coupon relative to the high-yield market, which trades at around 3% to 4%, said trader Greg Foss. The debt is being priced as a low Single B, or potentially Triple C type credit, even though MicroStrategy’s debt ... (full story)