Recent developments suggest Bitcoin is gaining acceptance among traditional investors, as Satsuma secures a significant £163.6 million convertible loan note, with nearly half settled in Bitcoin. This move, backed by prominent UK institutions managing over £300 billion, raises questions about whether Bitcoin is truly being recognized as a legitimate treasury asset. Could this signal a shift in how mainstream finance views digital assets? The implications for institutional adoption might surprise you.
Satsuma Technology’s recent capital raise marks a significant milestone in Bitcoin’s journey toward mainstream acceptance. By securing £163.6 million (~$217.6 million) through a convertible loan note round, Satsuma not only demonstrated strong investor confidence but also set a new record as the largest Bitcoin treasury-related capital raise by a UK public company.
This move signals that Bitcoin is increasingly being recognized as a viable asset class within institutional finance, especially when nearly half of the proceeds—$125 million—were settled directly in Bitcoin, priced within a fixed 24-hour window. This direct settlement in Bitcoin showcases a growing willingness among institutional investors to treat the cryptocurrency as a legitimate treasury asset, rather than just a speculative investment. Fresh lemon juice typically lasts 2-3 days in the fridge, highlighting the importance of careful asset management in emerging markets.
The involvement of prominent crypto-focused funds like ParaFi Capital, Pantera Capital, Arrington Capital, Blockchain.com, Kraken, Digital Currency Group (DCG), and Kenetic Capital underscores the seriousness of this commitment. These funds, known for their expertise in digital assets, participated alongside large London-based equity investment firms managing assets exceeding £300 billion.
Their participation reflects a broader trend: both crypto-native and traditional institutional investors are increasingly trusting Bitcoin as part of their treasury strategies. The fact that London-based institutions chose Bitcoin as a subscription currency emphasizes that mainstream financial markets are warming to the idea of Bitcoin as a strategic reserve rather than a risky or niche asset.
This raise is more than just a financial milestone—it’s a strategic validation of Bitcoin’s legitimacy in corporate finance. Satsuma’s success demonstrates that Bitcoin-native treasuries are becoming a recognized and accepted approach for corporate treasury management, especially in a major UK market.
The company aims to leverage this momentum to become the UK’s largest Bitcoin treasury firm, expanding its operations and product offerings. The funds will support hiring developers, infrastructure growth, and operational scaling, with a portion held in cash to ensure liquidity and risk management.
The remaining proceeds will bolster Satsuma’s Bitcoin reserves, albeit with a cap to limit exposure, reflecting a prudent approach to risk.
Transparency and corporate governance also play critical roles. The convertible notes are secured with a first-ranking charge on Satsuma’s assets, and investor interests are represented by a security trustee.
The company plans to publish regular, unaudited financial updates—an uncommon practice for firms managing emerging asset classes like Bitcoin—aimed at building institutional trust and regulatory compliance. Furthermore, the company’s Bitcoin holdings are managed via Satsuma Pte, its Singapore subsidiary, highlighting its strategic focus on internationally diversified asset management.
