Companies Use Bitcoin to Settle $31.7M Debt

Two publicly traded companies have recently liquidated substantial portions of their Bitcoin holdings to settle significant debts, demonstrating a strategic use of digital assets for corporate financial management. KULR Technology Group and The Smarter Web Company collectively sold approximately 511 Bitcoin, generating proceeds used to retire roughly $31.7 million in obligations.

KULR Technology, a US-based battery technology firm, sold around 333 BTC to clear its entire $20 million principal on a credit facility with Coinbase. This move was aimed at reducing interest expenses and mitigating collateral and liquidation risks associated with the loan. The company still holds a considerable reserve of approximately 760 BTC.

The Smarter Web Company, a UK-listed web services group, sold nearly 178 BTC to repay a convertible note due early August. This proactive repayment avoided potential dilution from shareholders opting for equity conversion at maturity. Despite this sale, The Smarter Web Company maintains substantial Bitcoin reserves, holding around 2,700 BTC. Both companies initiated these sales voluntarily, not under lender duress, showcasing a deliberate strategy to manage financial liabilities while maintaining their overall Bitcoin treasury approach.