Tokyo-based investment and consulting firm, Metaplanet Inc., has announced a bold move to bolster its Bitcoin holdings through the issuance of 1 billion yen ($6.26 million) worth of bonds. This strategic financial maneuver, revealed on June 24, aims to capitalize on the current market conditions to secure additional Bitcoin for long-term investment purposes.
The company's board has approved the bond sale, which will carry an annual interest rate of 0.5%. If the bond sale proceeds as planned, Metaplanet is set to acquire nearly 100 BTC at the current market rate, enhancing its cryptocurrency portfolio significantly.
This move follows Metaplanet’s recent acquisitions, including a notable purchase of 23.25 BTC on June 11 and an initial investment of 117 BTC in mid-May. The firm has adopted a "Bitcoin-first, Bitcoin-only" strategy for its treasury, driven by ongoing economic pressures in Japan. Despite current market volatility, with Bitcoin experiencing a 40-day low at $62,733, Metaplanet remains committed to its long-term Bitcoin strategy.
The company's aggressive Bitcoin acquisition strategy has drawn comparisons to U.S.-based MicroStrategy, known for its substantial Bitcoin holdings. Metaplanet’s stock has also seen significant gains, rising by 11.5% to 96 yen ($0.60) on the announcement, reflecting investor confidence in the firm's cryptocurrency-centric approach.
Metaplanet's average purchasing price for Bitcoin stands at 10.28 million yen ($65,365) per Bitcoin, suggesting the firm is currently at a loss with its strategy. Nonetheless, Metaplanet is poised to continue its Bitcoin acquisition, betting on future market recovery and long-term value appreciation.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
