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Metaplanet raises total holdings to $26M by acquiring an additional $2M in BTC
Metaplanet
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Metaplanet raises total holdings to $26M by acquiring an additional $2M in BTC

2024-09-10 by Ndaman Olayinka 3 minutes read
Metaplanet raises total holdings to $26M by acquiring an additional $2M in BTC

Metaplanet, a publicly-listed investment and consulting firm in Japan, is increasing its Bitcoin investment by injecting additional capital into buying the cryptocurrency.

As a Tokyo-listed company continues to be bullish on the largest cryptocurrency in the world, it announced in a statement today that it has acquired an additional 38.464 bitcoin, valued at approximately 300 million yen ($2 million).

After completing the purchase, Metaplanet now holds 398.832 BTC, or approximately 3.75 billion yen ($26 million), Metaplanet added.

In April 2024, Metaplanet made a significant move into the Bitcoin space by acquiring its first batch of Bitcoin for $6.5 million and utilizing it as a treasury asset. On April 8, Metaplanet stated that well-known industry figures, including Jack Liu, a founding member of Ordiswap, and Mark Yusko of Morgan Creek Capital, as well as organizations like Sora Ventures and UTXO Management, supported the company's decision to enter the Bitcoin space.

In June, Metaplanet issued bonds to buy $6.3 million worth of Bitcoin. On July 8, the firm paid 400 million yen for $2.5 million worth of Bitcoin, making a total acquisition of 42.5 billion Bitcoin. After the deal, Metaplanet acquired 203.7 BTC, with a purchase price of roughly 10 million yen, or $62,000, for each BTC.

On August 6, the firm revealed in a statement that it intended to invest the majority of the fund, $58.76 million, in Bitcoin (BTC) and that it planned to raise 10 billion yen, or roughly $69.13 million. Two days later, Metaplanet, in a statement, said that it had secured a $6.8 million loan to buy more Bitcoin (BTC). The firm stated that its board of directors made the decision to secure a loan for a total of one billion yen, or roughly $6.8 million, with an annual interest rate of 0.1%.

Because of the similarity between Metaplanet's aggressive Bitcoin purchases and MicroStrategy's 2020 entry into the market, the company was dubbed "Asia's MicroStrategy." In 2020, MicroStrategy began purchasing Bitcoin as a hedge against inflation and as a substitute for cash. As of August 1, Michael Saylor MicroStrategy now holds 226,500 BTC after acquiring an additional 169 BTC in July for $11.4 million.

According to data from CoinMarketCap, Bitcoin climbed 3.57% over the past 24 hours to trade at $57,122.75 at the time of writing.

Disclaimer: This information should not be considered financial advice by any means. Please do your own research before making any investment decisions. The views in the articles are personal opinions only. Whale Insider is not responsible for any financial losses incurred.