London Companies Spark Bitcoin Boom with Bold New Investment Moves

A growing number of companies listed on London’s stock market are investing in bitcoin, reflecting a wider trend of businesses using cryptocurrency to boost their market value. Over the past week, at least nine London-listed firms from web design companies to natural resource businesses have announced purchases of bitcoin or plans to do so.

This movement follows the example set by U.S. software company MicroStrategy, whose market value rose nearly 400% after it began investing heavily in bitcoin in 2020. London’s market, traditionally cautious about digital assets, is now beginning to catch up.

While the Financial Conduct Authority (FCA) in the UK has maintained strict rules on crypto-related products citing concerns about money laundering and financial crime, smaller companies see bitcoin as a way to increase investor interest and drive share price growth. Many of these companies are listed on smaller exchanges like the Aquis Exchange.

For example, Smarter Web Company, a website design business based in Guildford, saw its market value jump from £4 million to over £1 billion within two months after announcing its bitcoin strategy. Panther Metals, a natural resources firm, recently bought its first bitcoin and plans to increase its holdings to £4 million, with its shares rising 81% in the past month.

Bluebird Mining Ventures also saw a nearly 400% increase in its share price since revealing plans to invest in bitcoin, a move that founder Aidan Bishop said revived investor interest in the company.

AI services company Tao Alpha announced plans to raise £100 million after revealing its bitcoin investment strategy, reflecting strong demand from investors. Another company, Vinanz, which started as a bitcoin mining operation, is rebranding as London BTC Company as it builds nearly $4 million in bitcoin holdings.

These developments come as the UK government works to position London as a center for digital assets. The FCA recently proposed easing restrictions on some crypto investment products, although its chief executive, Nikhil Rathi, warned about ongoing risks related to financial crime.

For many small and struggling companies on London’s exchanges, bitcoin is seen as a way to attract investors and increase their market value. As more firms adopt this strategy, London’s market may see further growth in companies offering exposure to cryptocurrency.