It makes *no* sense for him to buy Pirate debt. It costs him money. How would he get that money back? From himself?
Well that isn't exactly true.
Person sells x BTC worth of debt.
Person creates uncertainty in the market and buys that debt back for y BTC.
Persons profits (x-y) BTC.
Not saying Pirate is doing that but there it isn't correct to say there is no sense in rebuying your own debt.