Summary
- Some shareholders, including Pantera Capital, have asked Satsuma Technology to sell all of its Bitcoin holdings and return the proceeds to shareholders.
- Satsuma Technology raised $220 million and adopted a Bitcoin treasury strategy, but the plan was hit hard as the Bitcoin price fell nearly 40%% from its record high.
- Bloomberg said Satsuma Technology’s share price has plunged more than 99%% from its peak in June last year, leaving its market capitalization below the value of the Bitcoin it holds.
Forecast Trend Report by Period
Some shareholders, including U.S. crypto venture capital firm Pantera Capital, have asked UK Bitcoin digital-asset treasury company Satsuma Technology to return capital to shareholders, Bloomberg reported on April 23.
The investors recently asked Satsuma Technology to sell all of its Bitcoin holdings and distribute the proceeds to shareholders, Bloomberg said. Satsuma confirmed it had received requests from some shareholders for a capital return. Chairman Ranald McGregor-Smith said the company is reviewing ways to respond while protecting the interests of all shareholders.
Satsuma moved into a Bitcoin treasury strategy after raising $220 million in new funding in August last year. Since then, Bitcoin has fallen nearly 40% from its record high, dealing a blow to that strategy. Bloomberg reported that Satsuma’s shares have slumped more than 99% from their peak in June last year, leaving the company’s market value below the value of the Bitcoin it holds.
Satsuma currently holds about 646 Bitcoin. At current prices, the stake is worth about $50 million, ranking the company 57th among Bitcoin digital-asset treasury firms by holdings.
JOON HYOUNG LEE
gilson@bloomingbit.ioCrypto Journalist based in Seoul
