Companies are increasingly turning to debt issuance, often convertible bonds, to acquire Bitcoin. This strategy offers advantages such as the potential for raising capital at low interest rates and the possibility of reducing debt if a rising Bitcoin price encourages bondholders to convert to equity. Some view Bitcoin as a hedge against inflation, diversifying treasury assets.

However, there are significant risks. The extreme volatility of Bitcoin can lead to substantial losses, which may impact a company's balance sheet and liquidity. There is also the risk of overpaying for Bitcoin due to inflated stock prices. Additionally, the regulatory landscape for cryptocurrencies remains uncertain, adding another layer of risk. This high-risk, high-reward approach requires careful consideration and effective risk management.