The New MicroStrategy? UK Firm Satsuma Settles Majority of Convertible Notes in Bitcoin

Summary: London-listed Satsuma Technology has raised £163.6 million ($218 million) through convertible notes, with nearly 60% of the funds settled directly in Bitcoin. The move positions Satsuma as a rising institutional player in digital assets, drawing comparisons to US-based MicroStrategy.

Background: Satsuma Embraces Bitcoin-Financed Raise

Formerly known as TAO Alpha, Satsuma Technology made headlines after completing a significant capital raise on July 28, settling approximately £96.9 million—around 1,097 BTC—of the total proceeds in Bitcoin. This marks the first major Bitcoin-denominated financing by a publicly listed firm in the UK.

The BTC acquired is held by Satsuma’s Singapore-based subsidiary, Satsuma Pte, bringing the firm’s total Bitcoin holdings to 1,126 BTC, valued at over $128 million at current market prices. These acquisitions occurred at an average price of $115,149 per BTC, according to data from BitcoinTreasuries.net.

Satsuma now ranks as the UK’s second-largest corporate Bitcoin holder, trailing only The Smarter Web Company. CEO Henry K. Elder confirmed that the funds will be allocated toward its decentralized AI infrastructure and digital asset reserves, with the company committing to regular BTC holding disclosures.

Market Impact and Industry Comparisons

Satsuma’s Bitcoin-focused raise is drawing comparisons to MicroStrategy, the US software intelligence firm renowned for its aggressive Bitcoin accumulation strategy. MicroStrategy began acquiring Bitcoin in 2020 and has since amassed over 628,000 BTC; however, its approach involves raising capital through debt or equity and subsequently converting it into Bitcoin.

Satsuma’s strategy differs by accepting Bitcoin as capital during the funding process itself. This direct settlement marks a pioneering move in institutional adoption and sets a new precedent for crypto-focused fundraising at the public company level.

Its recent fundraising round was led by ParaFi Capital and supported by major digital asset entities including Pantera Capital, Digital Currency Group (DCG), and Kraken. Additionally, institutional investors managing a combined £300 billion in assets also participated, signaling growing traditional market interest in crypto-financed ventures.

Regulatory Environment and Potential Ripple Effects

Satsuma’s bold move comes as the UK’s regulatory stance on digital assets begins to evolve. The successful execution and transparency surrounding Satsuma’s strategy could pave the way for other public companies across Europe to consider Bitcoin as a treasury reserve asset.

Currently, UK-listed firms hold a total of 3,658 BTC, while private companies retain 88 BTC, highlighting the still nascent stage of corporate Bitcoin adoption in the region.

Bitcoin Price Update

As of the latest data, Bitcoin continues to trade near $57,000, with Satsuma’s accumulation contributing to long-term supply tightening narratives. Institutional interest in Bitcoin remains a key bullish driver, particularly as innovative funding structures—like Satsuma’s—gain traction within public markets.