YEREVAN (CoinChapter.com) — Japan’s Metaplanet, an investment and consulting firm, has increased its Bitcoin holdings. On July 7, the firm announced the purchase of 42,466 bitcoins for 400 million Japanese yen ($2.5 million). This brings Metaplanet’s total Bitcoin holdings to 203,734 BTC.
Metaplanet’s $6.5M BTC Investment Backed by Industry Leader
Metaplanet adopted Bitcoin as a treasury asset in April 2024.
Their initial investment was $6.5 million. This decision was supported by notable figures like Mark Yusko, founder of Morgan Creek Capital, and Jack Liu, a founding member of Ordiswap. Companies such as Sora Ventures and UTXO Management also backed this move.
The average price Metaplanet paid for its Bitcoin holdings is around 10 million yen ($62,000) per coin. This is about 7% higher than Bitcoin’s current trading price.
Metaplanet Mirrors MicroStrategy’s Bitcoin Moves
Metaplanet’s strategy is similar to that of MicroStrategy, known for its large Bitcoin investments. MicroStrategy started buying Bitcoin in 2020 as an alternative to holding cash. By June 2024, MicroStrategy had acquired 226,331 bitcoins, costing $7.538 billion, with an average price of $35,158 per BTC.
Both companies show a strong commitment to Bitcoin as part of their investment strategy.
Stock Soars Amid BTC Investment Fluctuations
Metaplanet’s Bitcoin investments have influenced its stock performance. After the announcement in April 2024, the company’s stock price surged by 90%. However, it later declined by 25% as Bitcoin’s price dropped. Metaplanet’s shares peaked at 107 yen ($0.66) on June 11 but fell as Bitcoin dropped from around $70,000 to below $60,000. Currently, the stock trades at 80 yen ($0.5), which is still 344% higher than at the start of 2024.
In late June, Japan’s Metaplanet announced plans to issue 1 billion yen ($6.26 million) worth of bonds to raise more funds for Bitcoin purchases.
Companies Embrace Bitcoin: Metaplanet Follows MicroStrategy’s Lead
Michael Saylor, CEO of MicroStrategy, has often raised funds through convertible notes to invest in Bitcoin. Metaplanet’s similar approach highlights a trend among companies to adopt Bitcoin as a key part of their investment strategies.
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