Key facts
- Investors in Stack BTC have seen their shares fall 36% from the March offer price.
- Nigel Farage, a major shareholder, purchased his shares at a lower price and is in profit.
- The stock has fallen from an offer price of 10p to 6.4p.
- Bitcoin's price has declined by about 7.5% in the same timeframe.
Brits who invested in Stack BTC, a Bitcoin venture backed by Nigel Farage, have experienced significant losses, with shares tumbling 36% from the March offer price. The stock, which launched at 10p, has fallen to 6.4p, while Bitcoin itself has seen a more modest decline of around 7.5% in the same period.
Nigel Farage, one of the largest shareholders, invested hundreds of thousands of pounds into the firm. However, he purchased his shares at 5p, leaving his stake up 28% and avoiding the losses incurred by public investors. Ex-Chancellor Kwasi Kwarteng is also among the company's backers.
Farage's investment and financial dealings have drawn scrutiny. He received a £5m personal gift from crypto billionaire Richard Harborne, which is under parliamentary investigation for non-disclosure. Farage stated the gift predated his election and covered security costs. Additionally, it was revealed that Farage received undeclared benefits from George Cottrell, a convicted criminal involved in money laundering and fraud, including staff, security, and use of a townhouse. Farage has defended these benefits, calling Cottrell a 'personal friend'.