Metaplanet, a Japanese public business, is dramatically expanding its Bitcoin holdings, which currently amount to 2,031.41 BTC.
Summary
• Metaplanet, a Japanese public company, is expanding its Bitcoin holdings to 2,031.41 BTC.
• The company plans to accumulate Bitcoin aggressively, aiming to reach 10,000 BTC by 2025 and 21,000 by 2026.
• The company raised 4 billion yen (about $26.39 million) by issuing ordinary bonds to EVO Fund, a debt and finance solutions provider.
• The funds were used to buy 269.43 more Bitcoins, increasing its total holdings to 2,031.41 BTC, worth almost $159 million at the current price of $96,000.
• Metaplanet’s Bitcoin strategy focuses on long-term growth, with an average purchase price of $78,000 per Bitcoin.
Metaplanet intends to aggressively accumulate Bitcoin, to reach 10,000 BTC by 2025 and 21,000 by 2026.
The company’s approach, like MicroStrategy’s, sees Bitcoin as a haven asset against yen depreciation and inflation.
Metaplanet, a well-known Japanese public business, is making headlines with a daring decision to grow its Bitcoin holdings. During Japan’s difficult economic climate—think negative interest rates and a sinking yen—the firm is looking to Bitcoin as a lifeline.
They raised 4 billion yen (about $26.39 million) by issuing ordinary bonds to EVO Fund, a debt and finance solutions provider, and added over 260 Bitcoin to their increasing portfolio.
Metaplanet used this money to buy 269.43 more Bitcoins, increasing its total holdings to 2,031.41 BTC, which is worth almost $159 million at the current price of $96,000.
A Clear Long-Term Strategy for Bitcoin Investments
Metaplanet‘s Bitcoin strategy focuses on long-term growth. The company’s total Bitcoin holdings are presently at 2,031.41 BTC, with an average purchase price of $78,000 per Bitcoin, for a total investment of $159 million.
Metaplanet intends to generate 116.65 billion yen (about $746 million) from 2025 to 2026 to purchase additional Bitcoin. By the end of 2025, the corporation hopes to have 10,000 BTC, with ambitions to increase to 21,000 BTC by the end of 2026. To fund these purchases, Metaplanet has collaborated with EVO Fund, which will generate the cash through the issuing of 21 million shares under the “21 Million Plan.”
Is Bitcoin the Perfect Hedge?
The recent economic troubles in Japan have affected Metaplanet’s decision to boost its Bitcoin holdings. The country is facing negative interest rates, large amounts of public debt, and a sinking yen. In the current economic atmosphere, Metaplanet sees Bitcoin as a safe asset that can safeguard against inflation and yen’s downfall.
Metaplanet thinks that increasing its Bitcoin investment will help the firm weather Japan’s financial difficulties and ensure long-term success. The company’s leaders stated:
“By granting these stock purchase rights and increasing our Bitcoin holdings, we believe we can protect ourselves from the depreciation of the yen’s value, hedge against inflation, and achieve long-term company value growth.”
Metaplanet’s Bitcoin approach is comparable to that of Approach (previously MicroStrategy), a US-based firm that has pioneered corporate Bitcoin accumulation. While Strategy has over $14.85 billion in unrealized earnings from its Bitcoin assets, the business recorded a $670.8 million loss in the fourth quarter of 2024 owing to a $1.01 billion impairment charge on its Bitcoin. Despite this, Strategy is the largest corporate Bitcoin investor, banking on long-term growth.
Based on this, Metaplanet intends to raise its Bitcoin holdings to 10,000 BTC by 2025, despite Japan’s tight crypto rules.
Also Read: Metaplanet Aims to Raise $745M to Increase Bitcoin Holdings Amid Yen Fall
Metaplanet, a Japanese Bitcoin investment firm, plans to raise 116 billion yen ($745 million) by issuing 21 million shares, marking Asia’s largest equity offering solely dedicated to Bitcoin acquisition. The 21 million shares will be available as part of a 0% discount moving strike warrant structure, allowing buyers to acquire the company’s equities at a predetermined price. The exercise of all warrants will result in a dilution rate of approximately 53.61%, with Metaplanet’s total shares increasing by 21 million over the two-year period. The company aims to increase its Bitcoin holdings to 10,000 BTC by 2025 and 21,000 BTC by 2026…[Read More]
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