Smarter Web Company, the largest corporate Bitcoin holder in the UK, is considering acquiring competitors to expand its Bitcoin holdings, according to CEO Andrew Webley.
Potential Future Acquisitions
Andrew Webley told the Financial Times that the company would 'certainly consider' buying out competitors to acquire Bitcoin at a discount. Currently, Smarter Web Company ranks 25th in the world and first among British companies for Bitcoin holdings, holding 2,470 BTC worth nearly $275 million.
Market Analysis of Bitcoin
Alex Obchakevich, founder of Obchakevich Research, pointed out that buying assets of bankrupt crypto companies may seem attractive due to potential discounts, but the reality is often tougher. He referred to bankruptcies of platforms like FTX and Celsius, where initial discounts of 60-70% reduced to 20-50% after accounting for liabilities and court rulings.
Market and Competitive Landscape
The cryptocurrency market remains tense. After a recent 22% drop in Smarter Web Company’s stock and a 4% decline in Bitcoin's value over the month, experts stress that companies need to be strategically oriented to survive increased competition. Josip Rupena, CEO of the Milo platform, noted that crypto companies face risks akin to collateralized debt obligations, similar to those causing the 2008 financial crisis.
In light of the volatility in the cryptocurrency market, Smarter Web Company continues to explore expansion opportunities, emphasizing potential acquisitions, which illustrates changes in the competitive landscape.
