Li Yonghong, the owner of AC Milan, declared that he tried to “refinance” the club using Bitcoin. Unfortunately, this plan failed.
La Repubblica, an Italian newspaper declares about the attempt of Li to use Bitcoin as a method of refinance the football club. This was an alternative to come up to Elliott Management, the hedge fund to whom he owes a large debt.
Milan are putting pressure on the chairman to show a financial progress and Italian daily Corriere della Sera wrote about the deadline of Li. He has deadline until 4th April to pay €10 million.
However, Gabriele Marcotti, the Italian football expert, had his doubts regarding Bitcoin as a method of refinancing.
THE DECLARATIONS ABOUT BITCOIN
“Not a scandal, just nonsense as it’s explained in the story. Bitcoin is no more of an investment than any other currency. It’s simply more volatile. But, I repeat, if he owns Bitcoin he can use it to pay off debt. Still don’t see how you “refinance with Bitcoin”
Li has to pay to Elliott the borrowings of the €180 million, according to Football Italia. Also Rossoneri needs €35 million in capital by June 30 in order to qualify for the 2018-19 Serie A campaign
The Milan figurehead released a statement last month denying any claims of looming bankruptcy, per Yahoo Sport UK:
Milan brought of a splash more than £150 million on transfer fees. Milan is considered one of the biggest spenders in the 2017 summer transfer.
It was not a notable improvement result until Gennaro Gattuso arrived at Milan in November.
The declaration of David Amoyal was the following:
“I look forward to the day where the discussions on Milan are centered exclusively on what happens on the pitch in the moment rather than their finances and their former legendary players and teams”
After the report from Italian daily Gazzetta dello Sport, the things went even worse when Li was suspected by money laundering.
It is an unknown fact about how Milan will escape from this financial situation, even more with the pressure upon Li.