"Smarter Web Company secures $30 million credit facility from Coinbase…potential for additional bitcoin purchases"
Summary
- UK-listed Smarter Web Company reported that it signed a $30 million credit facility agreement with Coinbase to purchase bitcoin.
- Smarter Web said the structure allows it to draw only what it needs by using its held bitcoin as collateral and pay interest, with no separately specified maturity date.
- It reported that the facility is a strategy to deploy funds into bitcoin immediately after raising new capital so it does not miss opportunities in a highly volatile market.
UK-listed Smarter Web Company has entered into a $30 million credit facility agreement with Coinbase to fund bitcoin purchases.
According to investment information platform TipRanks on the 24th, Smarter Web signed an agreement with Coinbase Credit. The structure allows the company to borrow against the bitcoin it holds as collateral. Interest accrues only on amounts actually drawn, and there is no separately specified maturity date.
The outlet said the facility was designed to enable the company to deploy funds into bitcoin immediately after raising new capital. The strategy is to shorten the time between funding and actual purchases so it does not miss opportunities in a highly volatile market.
Smarter Web is a UK company focused on web design and online marketing. More recently, it has been pursuing a strategy of accepting bitcoin as a means of payment and holding a portion of its corporate assets in bitcoin.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
