Michael Saylor has disclosed that his company, Strategy, intends to convert approximately $6 billion in bond debt into equity, thereby alleviating some financial pressures. The company asserts that it is positioned to handle a Bitcoin (BTC) price decrease down to $8,000, maintaining sufficient assets to cover its debts.

The firm currently boasts a Bitcoin treasury worth $49 billion, holding 714,644 BTC. To neutralize its debt, Bitcoin would need to drop nearly 88%. The strategy involves turning bond debt into equity, effectively making bondholders shareholders.

This action would lighten the company’s debt load but might also lead to dilution for existing shareholders by issuing new stock. In terms of performance, Strategy’s average acquisition cost for Bitcoin stands at around $76,000, with current trading around $68,400, marking a 10% decline on investments.

As of now, shares of Strategy (MSTR) are down 70% from their highest price recorded in mid-July of $456.