Headline: Smarter Web buys 10 BTC below its cost basis, boosts treasury to 2,869 BTC using Coinbase credit line
The Smarter Web Company has added another 10 BTC to its corporate treasury, buying the coins at a price below its existing average cost basis as it continues to expand a Bitcoin-led balance sheet strategy.
What happened
- On May 26 the UK-listed firm disclosed a purchase of 10 BTC for £557,865, at an average price of £55,786 per coin (roughly $74,904 per BTC based on the company’s pound-to-dollar conversion).
- That brings Smarter Web’s total holding to 2,869 BTC. The company reports total Bitcoin investment of £232.48 million and an average purchase cost across its full position of £81,032 per BTC (about $109,000).
How the purchase was financed
- Smarter Web is using a credit facility arranged with Coinbase. To date it has drawn £18 million from that facility.
- The firm reports a leverage ratio of approximately 12.19%. The loan is secured against existing BTC holdings and carries a variable interest rate between 6.75% and 7.25%. Management says the facility can be repaid at any time without penalty, giving flexibility to manage debt exposure.
Performance and strategy
- Management cites a quarter-to-date Bitcoin yield of 15.43%, a metric it uses to track changes in BTC holdings relative to its fully diluted share count. The company has been building its BTC position since it began accepting Bitcoin payments in 2022 and is also pursuing acquisitions to grow client base and recurring revenue while maintaining the treasury strategy.
Market context
- With 2,869 BTC, Smarter Web ranks 27th among publicly listed companies by Bitcoin holdings, according to figures in the disclosure. The move comes amid broader corporate activity in crypto treasuries—other public firms have been reshaping their approaches, from large equity-driven accumulation to debt restructuring tied to BTC holdings.
Why it matters
- Buying more BTC below the company’s average cost reduces overall cost basis and signals continued confidence in the asset as a corporate reserve. At the same time, using collateralized borrowing introduces leverage risk—though Smarter Web’s reported leverage is modest and the facility’s repayable, variable-rate structure leaves room to adjust exposure.
Bottom line
Smarter Web’s incremental 10 BTC purchase is small in size but notable for being executed below its lifetime average cost. It highlights the ongoing trend of corporate treasuries using capital allocation and credit facilities to scale Bitcoin positions while balancing growth and leverage management.
Read more AI-generated news on: undefined/news
