London BTC Company Limited (LSE:BTC) has moved to diversify its risk profile by introducing a gold-linked hedge against bitcoin price volatility, securing a 30-day exclusive call option to acquire 100% of the Chance Gold Mine tenements in Western Australia. The internally funded, low-cost option provides exposure to a historic high-grade gold project located close to the 2.6Moz Copperhead Gold Mine, with management indicating that modern exploration techniques could unlock meaningful upside. The company intends to fund exploration using cash flows from its existing bitcoin mining operations and its balance sheet, with any increase in the gold asset’s value expected to support the bitcoin treasury and help finance further expansion of its mining fleet.
Alongside the gold strategy, London BTC is assessing plans to scale its U.S. bitcoin mining operations to around 1,500 units through 2026. As part of this push, the group is in the process of establishing a U.S. subsidiary to secure prospective gold ground, which could both deepen its gold hedging strategy and potentially accommodate standalone data centres for future bitcoin mining. Management sees the combination of physical gold optionality and expanded U.S. mining capacity as a way to smooth earnings volatility while maintaining leverage to long-term bitcoin growth.
More about London BTC Company Limited
London BTC Company Limited is a London Stock Exchange Main Market-listed bitcoin mining and treasury company, with its shares also trading on the OTCQB in the United States. The group builds a strategic bitcoin position through a combination of direct bitcoin holdings and operating its own mining fleet, which currently comprises 1,048 miners hosted at third-party facilities across Indiana, Iowa, Nebraska and Texas in the US, as well as Labrador in Canada. The business is supported by a debt-free balance sheet and a strategy focused on disciplined expansion and treasury growth.
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