Yes but those convertible notes only exist to grant them access to compute they would otherwise need to pay fair market value for.

If I drive a taxi making $200/day and need $150/day of gas.. but convince Shell to take a convertible note instead of $150.. Do I make a) $200/day profit, b) $50/day profit, or c) $200/day - (change_in_value[convertible_note]) in profit?

Some are arguing that C is somehow fake, but its obviously more real than A!