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Smarter Web Launches £21M Bitcoin Bond Backed by TOBAM
The Smarter Web Company has launched a new Bitcoin-denominated bond called Smarter Convert. This interest-free capital-raising initiative raised $21 million through a full subscription by TOBAM, a respected French asset management firm.
TOBAM subscribed via three of its managed funds, marking a pioneering step in UK capital markets. The firm has maintained exposure to Bitcoin since 2016, adding further credibility to the initiative.
Innovative Terms with Investor Protection
The convertible bond allows investors to convert into equity at a 5% premium to SWC’s share price, which closed at £1.95 on August 5, 2025. If not converted within 12 months, the bondholders can request 98% repayment of the original value. Additionally, if SWC’s share price trades 50% above the conversion price for ten consecutive trading days, the company can force conversion into equity after six months.
Bitcoin-Linked Structure Offers Upside
Crucially, the bond’s principal is denominated in Bitcoin, linking repayment value to Bitcoin’s price at maturity. If Bitcoin rises, the repayment amount increases. Conversely, a decline reduces the value repayable, an innovative mechanism aligning risk with market conditions.
Andrew Webley, CEO of The Smarter Web Company, described the move as strategic. “We’ve built our Bitcoin-backed balance sheet with laser focus,” he said. “Smarter Convert opens a new segment of capital that aligns with our long-term vision.”
Balanced Growth, Not Hype
The company capped Bitcoin exposure via Smarter Convert at 30% of its unencumbered Bitcoin treasury. This ensures responsible growth, not unchecked speculation.
Yves Choueifaty, CEO of TOBAM, praised the initiative. “Smarter Convert exemplifies our drive for innovation and long-term alignment,” he noted. “We are proud to support a Bitcoin-denominated structure with both upside potential and prudent downside protection.”
Looking Ahead
If fully converted, Smarter Convert will issue 7.7 million shares, resulting in less dilution than traditional equity raises. This structure may also serve as a blueprint for future offerings to institutional investors. SWC, which offers web development and online marketing services, has actively integrated Bitcoin into its corporate strategy. Since 2023, the firm has accepted Bitcoin as payment and adopted a Bitcoin treasury model.
The company aims to become one of the largest publicly listed firms in the UK. This bond issuance represents a bold step in that direction. Smarter Convert demonstrates how traditional capital markets can integrate modern monetary tools while maintaining trust, structure, and innovation.