European crypto firm K33 raises $6.2M for Bitcoin buys

Norwegian crypto brokerage firm K33 plans to join the growing number of public companies buying up Bitcoin after raising 60 million Swedish krona ($6.2 million) to buy and hold the cryptocurrency.

K33saidon May 28 that it secured financing through convertible loans and a new issue of shares and warrants, which “will be used in full to acquire Bitcoin in order to establish the Bitcoin Treasury Strategy.”

Warrantsarezero-interest securities that investors can later convert into equity at the same price. K33 could purchase up to 57 BitcoinBTC$107,519BitcoinChange (24h)1.35%Market Cap$2.13TVolume (24h)$30.6BView Moreat BTC’s current price of just over $108,000.

K33 CEO Bull Jenssenpostedto X on May 28 that he thinks Bitcoin will be the “best-performing asset in the coming decade,” and his company will “accumulate as many as possible while unlocking powerful operational synergies with our brokerage operation.”

“Why wait for the government to build a Bitcoin reserve when you can build you own? Initial financing is secured and we are ready to accelerate from here!” headdedin another post.

The convertible loans total 45 million Swedish krona ($4.6 million), are interest-free and mature on June 30, 2028. The remaining 15 million Swedish krona ($1.5 million) will come through a new share issuance and warrants, according to K33.

If investors convert their warrants before March 2026, they are entitled to additional free warrants at the same conversion rate. If fully exercised, K33 could raise up to 75 million Swedish krona ($7.7 million) for itsBitcoin buy.

Bitcoin treasury part of expansion plans

In K33’s interim report for the first quarter, released May 28, JenssensaidK33 is working with other Bitcoin treasury companies in the Nordics and hopes to use its treasury as a foundation to offer new services, such asBTC-backed lending.

“For K33, Bitcoin is not only a high-conviction asset — it’s also a strategic enabler. With a sizable BTC reserve, we will be able to strengthen our financial position while unlocking new revenue streams, product capabilities, and partnerships,” he said.

Related:Strategy bags 4,020 Bitcoin as price briefly breaks $110K

K33’s share price traded flat with the news of its Bitcoin treasury pivot and closed May 28 trading down 1.96%,accordingto Google Finance.

Some companies have seen their stock prices gain after announcinga Bitcoin buying plan.

Video game retailerGameStop shares jumped nearly 12%on March 26 after the company announced plans to purchase Bitcoin. However, itdropped 11% on May 11after GameStop made its first purchase of 4,710 Bitcoin.

Meanwhile, when Paris-based crypto company Blockchain Group started buying Bitcoin on Nov. 5, itsstock spiked 225% to 0.48 euros($0.52).

Magazine:Rise of MicroStrategy clones, Asia dominates crypto adoption: Asia Express 2024 review

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