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November 21, 2024
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Bitcoin

Japanese Firm Metaplanet Buys Another $3.4 Million in Bitcoin


Japanese firm Metaplanet has purchased of ¥500 million ($3.4 million) worth of Bitcoin, bringing its total corporate holdings to ¥3.45 billion.

Metaplanet announced the news in an August 20 note, revealing that it had completed the purchase of 57.273 BTC at an average purchase price of ¥8,730,117 (around $59,600) per Bitcoin. The firm’s total Bitcoin holdings now amount to 360.368 BTC, worth $21.9 million at its current price.

The purchase completes Metaplanet’s plan to buy ¥1 billion worth of Bitcoin for its corporate reserves using a loan that it took out earlier this month—just days after announcing plans to raise ¥10.08 billion through a stock rights offering in order to further expand its Bitcoin reserves.

The firm’s stock price rose by 10.87% on the news, to ¥1,193 ($8.15).

The “Japanese MicroStrategy”

Metaplanet announced its plan to adopt Bitcoin as its “core treasury reserve asset” in April 2024, stating at the time that, “This strategic pivot is not just about embracing digital assets but also about pioneering a future where finance meets innovation at its core.” Since then, its stock price has risen by over 500%.

“We believe this to be the most valuable thing we can do for our shareholders,” Metaplanet’s Director of Bitcoin Strategy, Dylan LeClair, told Decrypt shortly after the firm announced its Bitcoin purchase plan. At the time, he added that Metaplanet “will explore various options for acquiring additional Bitcoin, including any opportunities present in capital markets that we view as accretive.”

The firm’s Bitcoin purchase strategy mirrors that of U.S. software firm MicroStrategy, which has stockpiled over $13 billion worth of BTC under the leadership of its chair, Michael Saylor. Saylor, who underwent a Damascene conversion to become a Bitcoin maximalist, argues that Bitcoin will surge to a market cap of $280 trillion by 2045—which would make his firm’s current holdings worth over $3.6 trillion.

Edited by Stacy Elliott.

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