UK Firm Smarter Web Expands Bitcoin Treasury
UK Firm Smarter Web Expands Bitcoin Treasury
Smarter Web, a UK-based web design and marketing firm, has significantly expanded its Bitcoin treasury. The company recently purchased an additional 230.05 BTC, bringing its total holdings to 773.58 BTC, valued at over $82 million. This makes Smarter Web one of the largest Bitcoin holders among UK-listed companies.
Strategic Bitcoin Investment
This investment reflects Smarter Web's long-term belief in Bitcoin's role in the future of finance. The company began accepting Bitcoin payments in 2023 and views this digital asset as crucial for organic growth and acquisitions. The board, however, acknowledges the inherent high-risk nature of Bitcoin investments, as highlighted by the UK's Financial Conduct Authority (FCA).
The purchase was funded in part by a recent $62 million fundraising round, which involved subscriptions and accelerated bookbuilds. Following this, CEO Andrew Webley and his family hold approximately 11.3% of the company's shares.
A 10-Year Bitcoin Strategy
Smarter Web's Bitcoin strategy is guided by a 10-year plan, developed with advice from Bitcoin specialists David Bailey and UTXO Management. The company aims to attract more clients, achieve sustainable growth, and increase long-term shareholder value.
Market Volatility and Risk
Smarter Web's shares experienced significant volatility following the announcement of its Bitcoin treasury plan. While initially seeing a dramatic price increase, the share price has since corrected. This underscores the inherent risks associated with companies tying their fortunes to Bitcoin's price fluctuations.
Other companies, such as the Japanese firm Metaplanet, have also embraced similar strategies, highlighting a growing trend of Bitcoin adoption in corporate treasuries.
Disclaimer:
It is crucial to remember that investing in Smarter Web shares does not constitute direct or indirect investment in Bitcoin. The company's Bitcoin holdings represent a distinct aspect of its investment strategy.
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