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A bitcoin firm in which Nigel Farage holds a stake is set to buy the gold dealer that pays him as its 'brand ambassador' – further entrenching the Reform UK leader's financial interests in the cryptocurrency world.
On 15 September, Stack BTC – which announced Farage as a 6.31% shareholder in March, alongside Liz Truss's former chancellor Kwasi Kwarteng as its executive chairman announced it planned to buy gold dealers Direct Bullion.
In an announcement to the markets, Stack BTC wrote: "Today we announced heads of terms for our proposed first acquisition: Direct Bullion, a UK precious metals dealer with £52.1m audited revenue and an operating profit before non-recurring items of £3.86m and profit after tax of £2.15m in FY26.
"Stack's strategy since day one [has been to] acquire profitable, cash-generative businesses that sustainably grow our Bitcoin per share, in sectors aligned with Bitcoin's hard-money principles. Gold is a natural fit."
Farage has been paid £685,500 by Direct Bullion in the space of 18 months, according to his own entries in the Register of Members' Financial Interests.
The value of gold tends to rise in times of political turmoil, suggesting the firm could benefit from unrest or instability under a radical right-wing Government.
A 2018 SSRN study by academics at the University of Western Australia found: "Gold shows a unique behavior among all precious metals with a positive reaction to geopolitical risks and threats."
A video advertisement recently posted by the company predicted violence and unrest under a Reform Government.
Questioning whether "sterling can survive what's coming," the video's narrator added: "If a Reform government pushes through its agenda, resistance from those ideologically opposed to that direction could severely undermine national stability."
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The Reform leader holds shares in Stack BTC through his company Thorn in the Side Ltd, having invested £215,000 on 9 March for 6.31% of the company. Within weeks he added £60,650 of shares in a second tranche. He bought in at 5p, and the share price surged to an all-time high of 21p on 10 March, the day after his investment was announced.
At the time, that suggested a paper gain of almost £700,000 for the Reform UK leader, but it had gone by June, when Stack's share price fell back to 5p. His register entry still lists the shares, so he does not appear to have sold them.
However, Farage's stake in the company has been diluted by a significant expansion in the number of shares available. (If the Direct Bullion deal goes through – funded in part by a major expansion in shares available – his shareholding could fall to around 3%).
But if the purchase does proceed, Farage's brand ambassador fees from Direct Bullion would come from a subsidiary of a crypto company he part-owns, giving him an arguably greater incentive to boost cryptocurrencies. And Stack itself will have a strong incentive to boost a company that appears to have traded on the prospect of unrest and disorder under a Reform Government.
Farage's last payment from Direct Bullion before his Stack investment was £135,000. The first one after it, 81 days later, was £270,000, described as covering the same amount of work: up to four hours a month over three months. Between those two payments he publicly promoted Stack on social media.
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The Clacton MP's payments from the gold dealer were equivalent to a quarter of Direct Bullion's profits in the year he became an MP. His register shows payments totalling £280,500 in the compan...