--- type: "Topics" locale: "en" url: "https://longbridge.com/en/topics/100000000852849.md" description: "$NVIDIA(NVDA.US)Nvidia's $500B AI financing deal is a clever sales booster, but it carries sneaky financial risks.Why it’s a smart move: * Boosts Sales Fast: Helps cash-strapped AI startups buy Nvidia chips now without waiting for cash flow. * Keeps Main Books Clean: Private credit funds (like BlackRock) supply the loan money, keeping massive debt off Nvidia’s core balance sheet. * Locks in Dominance: Ensures Nvidia stays the default hardware standard for the AI boom.Why it’s a risky move: * Nvidia’s Hidden Promise: Nvidia agrees to cover up to 25% of losses if borrowers default, putting real money back on the line. * Tech Gets Old Fast: Chips lose value quickly as newer models arrive. Long 5–7 year loans might outlast the hardware’s actual usefulness. * Pricey Loans: Borrowers pay high interest rates (10–17%). If their AI products don't make money quickly, defaults will follow.Verdict: A genius growth trick to keep chip sales booming today, but it quietly links Nvidia to a potential AI debt bubble tomorrow." datetime: "2026-08-13T12:50:22.000Z" locales: - [en](https://longbridge.com/en/topics/100000000852849.md) - [zh-CN](https://longbridge.com/zh-CN/topics/100000000852849.md) - [zh-HK](https://longbridge.com/zh-HK/topics/100000000852849.md) author: "[LazyCat](https://longbridge.com/en/profiles/16872684.md)" generator: "portal-rs" --- # $NVIDIA(NVDA.US)Nvidia's $500B AI financing deal i… ### Related Stocks - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [BLK.US](https://longbridge.com/en/quote/BLK.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) - [BTX.US](https://longbridge.com/en/quote/BTX.US.md) - [BIT.RT*.US](https://longbridge.com/en/quote/BIT.RT*.US.md) - [BDJ.US](https://longbridge.com/en/quote/BDJ.US.md) - [BSTZ.US](https://longbridge.com/en/quote/BSTZ.US.md) - [BIT.RT.US](https://longbridge.com/en/quote/BIT.RT.US.md) ## Comments (3) - **watchdog · 2026-08-13T13:52:17.000Z · 👍 1**: its a residual value guarantee on the chips, not loss cover on defaults. what breaks it is china dumping cheap silicon and gutting the collateral, not just aging hardware. - **LazyCat** (2026-08-13T13:55:17.000Z): very true - **Fattycat · 2026-08-13T13:23:44.000Z**: Nice 👌🏻 --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**