Key Takeaways
- Metaplanet has increased its bitcoin holdings to over 500 BTC as part of a strategy to hedge against yen volatility and Japan's debt.
- The company acquired 107 additional bitcoin with funds borrowed from MMXX Ventures, raising its total bitcoin reserves to the second highest among Asian publicly-traded firms.
- Since starting bitcoin investments in April, Metaplanet's stock price has surged by over 420%, significantly outpacing bitcoin's market performance.
Metaplanet Expands Bitcoin Holdings
Metaplanet has purchased an additional 107 bitcoin, bringing its total holdings to over 500 BTC.
The new purchase was made at an average price of $64,168 per bitcoin, totaling $6.9 million.
This acquisition follows Metaplanet’s strategic decision to adopt bitcoin as a reserve asset in May 2024.
Strategic Bitcoin Reserve and Market Impact
Metaplanet has been using bitcoin as a hedge against yen volatility and Japan's mounting debt burden.
The company's stock price has surged by 420% since it began investing in bitcoin in April 2024.
Despite bitcoin prices declining by 3% since April, Metaplanet's stock performance has outpaced the market.
Financing and Future Outlook
The company financed its most recent bitcoin purchase through a $6.8 million loan from MMXX Ventures.
Metaplanet now holds the second-largest bitcoin treasury among publicly traded firms in Asia, following Meitu.
As of Tuesday, the company’s market capitalization to bitcoin holdings ratio has reached 20%, the highest on record.
