Bitcoin enters the credit market.

MicroStrategy becomes the first bitcoin company to receive a credit rating, opening the door to a multi-trillion-dollar market.

Last week, MicroStrategy became the first bitcoin company to receive a credit rating from S&P. It may seem like a small headline, but it’s actually a historic milestone: for the first time, bitcoin is formally recognized within the global credit system. This opens a new frontier — bitcoin-backed credit.

Until now, bitcoin was mainly used as an investment or as collateral within DeFi. On platforms like Aave and MakerDAO, investors have been able to borrow against their bitcoin for years. That market has grown rapidly over the past twelve months, showing that credit based on bitcoin is becoming increasingly mainstream.

In the traditional world, the first signs are also visible. Major U.S. banks such as JP Morgan recently announced they now accept bitcoin as collateral for mortgages. It’s the same principle: bitcoin is recognized as a valuable, liquid form of collateral within the existing financial system.

S&P’s move takes this to another level. When companies, credit institutions, and pension funds gain access to bitcoin-based lending, a bridge is built between the crypto market and traditional capital markets.

A market larger than bitcoin itself

The credit market is enormous. The global debt market — including corporate loans, government bonds, mortgages, and consumer credit — is worth more than $300 trillion, many times larger than the total value of all equities or crypto combined.

Every asset class experiences real growth only once it gains access to credit. Gold is the classic example: once banks began using gold as collateral, an entire ecosystem of gold-backed loans, derivatives, and financial products emerged.

The same process is now starting with bitcoin. Where bitcoin used to be bought, it can soon be borrowed against, rehypothecated, or refinanced. That creates an entirely new financial layer around the asset — from bitcoin bonds to credit lines and collateralized lending.

Once credit institutions, pension funds, and corporations can use bitcoin as collateral, the line between crypto and traditional finance fades. Bitcoin then becomes not just an alternative investment, but a fully integrated part of the global financial system.