Metaplanet, a publicly listed Japanese investment firm, Purchased an additional ¥500 million ($3.4 million) worth of bitcoins. This brought the company’s total bitcoin holdings to 303, purchased for ¥2.95 billion ($20 million).
Just in: 🇯🇵 Metaplanet just bought another one worth ¥500 million #bitcoin pic.twitter.com/dfGWwqNBXw
— Bitcoin Magazine (@BitcoinMagazine) August 13, 2024
On August 6, Metaplanet announced plans to raise ¥10.08 billion through a stock rights offering to expand its bitcoin reserves. This was followed on August 8 by securing a ¥1 billion loan to purchase more bitcoin.
The firm has aggressively pursued a Bitcoin accumulation strategy this year to strengthen its balance sheet. Metaplanet believes Bitcoin can rise significantly and can be hedged against the devaluation of the Yen.
The latest ¥500 million bitcoin purchase was for 57.1 BTC, with an average price of ¥8.8 million per bitcoin. Metaplanet’s total of 303 bitcoins were purchased for an average of ¥9.7 million per bitcoin.
The company has been aggressively using debt and equity to grow its bitcoin reserves, taking a cue from MicroStrategy’s strategy. Metaplanet’s shares have rallied significantly since it first announced its bitcoin pivot in April, though they have recently fallen from yearly highs. The company is positioning itself as a publicly traded proxy for bitcoin exposure in Japan.
Other firms such as MicroStrategy, Marathon Digital Holdings and Semler Scientific are also raising funds in the debt markets to buy more bitcoin and speed up its adoption. These savvy public companies are using the cheap lending rates of the fiat system to accumulate scarce bitcoin.
Disclaimer: Bitcoin Magazine is wholly owned by BTC Inc., which UTXO ManagementA regulated capital allocator focused on the digital asset industry and invested in Metaplanet. UTXO invests in a variety of bitcoin businesses, and maintains significant holdings in digital assets.
