Smarter Web has issued a first-of-its-kind bond denominated in Bitcoin, highlighting the growing interest of traditional finance companies in crypto assets.
First Bond Issuance
On August 6, Smarter Web Company, in collaboration with French investment firm TOBAM, issued the 'Smarter Convert' bond worth $21 million, denominated in Bitcoin. The company has already entered into an agreement with TOBAM for the full purchase of this bond, but it plans to issue more of these bonds at market prices for other investors, including TOBAM.
Benefits of the Bonds
These bonds provide investors with exposure to both Bitcoin and Smarter Web Company shares. The bonds are interest-free and can be converted into company shares. If holders decide not to convert, they will receive 98% of the BTC value at the time of repayment.
Growing Interest in Bitcoin Bonds
The issuance of Bitcoin-denominated bonds indicates that traditional firms and financial regulators are taking crypto assets seriously. Smarter Web Company is a UK-based Bitcoin treasury firm currently holding 2,050 coins and ranks among the top 25 global companies by Bitcoin treasury assets. TOBAM is a French investment firm involved in crypto assets since 2016 and was one of the first European asset managers to invest directly in Bitcoin.
The launch of Bitcoin-denominated bonds represents a significant step towards integrating crypto assets into traditional financial markets. This provides new opportunities for both investors and companies.
