Stack BTC will pay for bitcoin with a gold dealer's cash flow

The proposal Stack BTC has made for precious metals dealer Direct Bullion is worth roughly three times the bitcoin on its balance sheet: up to £12 million ($16 million) against about 68 coins worth $5.2 million. The non-binding offer splits into £3 million in cash, roughly £4 million in shares at completion and £5 million in performance-linked cash, with shares issued at a minimum of 6 pence and locked up for four years — and the Farage-backed U.K. bitcoin treasury company would use the dealer's cash flow to keep buying coin.

It would be Stack's first purchase under a strategy of acquiring profitable businesses to finance bitcoin buying, which executive chairman Kwasi Kwarteng calls the "twin pillar strategy" in action: raising capital to buy bitcoin directly, and owning companies that generate the fiat to buy more. The appeal is that selling equity for coin dilutes holders at whatever price the market will pay, while a cash-generative company extends the buying without another raise.

Direct Bullion earned £2.15 million after tax on £52.1 million of revenue in the year ended January 2026, which puts the headline price at roughly five and a half times trailing profit, though the £5 million performance-linked slice leaves the fixed portion nearer three times. Against the treasury, the proportions invert: the gold dealership would be the larger enterprise, and the trade-off the twin pillars do not advertise is dilution in the other direction — keep buying cash-generative companies and the equity stops behaving like a bitcoin proxy and starts behaving like a holding company with a coin position attached.

None of it is signed. The deal is non-binding, subject to due diligence and definitive agreements, and constitutes a reverse takeover; because Stack director Paul Withers controls Direct Bullion's seller, it is also a related-party transaction. Stack's shares were 1% lower on the day.

Farage's £215,000 investment, made through his company Thorn In The Side and announced on March 9, bought roughly 6.3% of Stack after the fundraising, following Reform UK's receipt of about $97 million from crypto billionaires Christopher Harborne and Ben Delo within 24 hours, $48.5 million each. Crypto money is moving through politics on both sides of the Atlantic; a bank-lobbying fight over stablecoin yield helped knock over the Senate's Clarity Act this summer, as this publication reported. The seller is taking part of the price in shares struck at a floor of 6 pence and locked for four years, which makes that exit a wager on a bitcoin treasury's stock trading higher.