গীতা LLB আজকের পর্ব 07 আগস্ট ফুল এপিসোড। গীতা এল. এল. বি. সিরিয়াল
The Smarter Web Company, a British technology company, raised $21 million through a new type of financial instrument, a bond issued against Bitcoin.
Known as “Smarter Convert,” this bond allows investors to eventually exchange their investment for shares in the company at a 5% premium to the current share price.
According to the official statement, TOBAM, a well-known asset manager headquartered in Paris, purchased the bond in its whole. TOBAM has been involved in the cryptocurrency market since 2016, investing through three of its ETFs. Their cooperation demonstrates great institutional faith in Bitcoin-backed financial instruments.
The bond will last 12 months and will pay no interest. Rather, investors can exchange their bonds for Smarter Web Company shares. In the event of no conversion within 12 months, the corporation will reimburse 98% of the bond’s value, taking into account the price of Bitcoin at the moment.
The exchange ratio is £2.05 per share, 5% higher than the company’s closing price of £1.95 on August 5, 2025. If all of the bonds are exchanged, approximately 7.7 million new shares will be issued.
Key Terms for Risk Management
Investors must hold the bond for at least six months before converting it into stock. If the company’s share price rises by 50% over the conversion price for ten consecutive days, it may force investors to convert their bonds into shares.
Because the bond is denominated in Bitcoin, the amount the corporation must repay is determined by the performance of the cryptocurrency. To mitigate this risk, the company has limited the amount of Bitcoin it would accept through this scheme to 30% of its unencumbered (free-to-use) Bitcoin holdings.
Benefits and Future Plans
This structure allows the Smarter Web Company to raise funds without paying interest and with less dilution to current owners than a normal share sale. It also enables the corporation to grow its Bitcoin holdings in a cautious and balanced manner.
Smarter Web hinted that further Bitcoin-denominated bonds may be issued in the future, possibly with TOBAM or other investors. The company believes the structure has the potential to revolutionize capital raising, particularly for technology companies like itself.
