I don't know what kind of debt you mean but I can also tell you that on a contrary apart from being used for payments, when you hold to an increase of values, you can be indebted to say you've achieved a financial relief to an extend which in either ways, your acquired profits can be used to clear up your debts.
Also likely, if a creditor and the debtor are exposed to bitcoin and also accepts bitcoin for payments, of course you can pay off debt with bitcoin.